neutral
11h agoVedanta's NCLT Approval Clears Path for Demerger, Analysts Remain Cautious
The approval of Vedanta Ltd’s demerger by the NCLT has resolved a major regulatory hurdle, though analysts note that it does not significantly alter their investment outlook. Despite trading at a 10-15% discount to its sum of the parts valuation due to complexities and capital allocation opacity, the demerger is expected to unlock value by enabling clearer benchmarking of Vedanta's individual businesses. Kotak Institutional Equities raised its rating to ‘Buy’ with a target price of ₹650, citing strong commodity prices and improved debt concerns. Hindustan Zinc, Vedanta’s subsidiary, has also seen positive revisions in its EBITDA estimates.
neutral
11h agoVedanta's NCLT Approval Clears Path for Demerger, Analysts Remain Cautious
The approval of Vedanta Ltd’s demerger by the NCLT has resolved a major regulatory hurdle, though analysts note that it does not significantly alter their investment outlook. Despite trading at a 10-15% discount to its sum of the parts valuation due to complexities and capital allocation opacity, the demerger is expected to unlock value by enabling clearer benchmarking of Vedanta's individual businesses. Kotak Institutional Equities raised its rating to ‘Buy’ with a target price of ₹650, citing strong commodity prices and improved debt concerns. Hindustan Zinc, Vedanta’s subsidiary, has also seen positive revisions in its EBITDA estimates.
1 min read
97 words
Vedanta’s NCLT approval sets the stage for its demerger, expected to unlock value with clearer business benchmarking, though analysts remain cautious on immediate gains.
The approval of Vedanta Ltd’s demerger by the NCLT has resolved a major regulatory hurdle, though analysts note that it does not significantly alter their investment outlook. Despite trading at a 10-15% discount to its sum of the parts valuation due to complexities and capital allocation opacity, the demerger is expected to unlock value by enabling clearer benchmarking of Vedanta's individual businesses. Kotak Institutional Equities raised its rating to ‘Buy’ with a target price of ₹650, citing strong commodity prices and improved debt concerns. Hindustan Zinc, Vedanta’s subsidiary, has also seen positive revisions in its EBITDA estimates.
The approval of Vedanta Ltd’s demerger by the NCLT has resolved a major regulatory hurdle, though analysts note that it does not significantly alter their investment outlook. Despite trading at a 10-15% discount to its sum of the parts valuation due to complexities and capital allocation opacity, the demerger is expected to unlock value by enabling clearer benchmarking of Vedanta's individual businesses. Kotak Institutional Equities raised its rating to ‘Buy’ with a target price of ₹650, citing strong commodity prices and improved debt concerns. Hindustan Zinc, Vedanta’s subsidiary, has also seen positive revisions in its EBITDA estimates.
Dec 18, 2025 • 05:45