Vedanta shares: VRL repays loans, Anil Agarwal firm updates on encumbrance
Vedanta shares: VRL and its direct or indirect subsidiaries were required to retain control over Vedanta or, directly or indirectly, own at least 50.1 per cent of the issued equity share capital of Vedanta.
- Aug 25, 2026,
- Updated Aug 25, 2026 12:37 PM IST
Vedanta Ltd cut losses and was trading half a per cent lower on Tuesday after the Anil Agarwal-led metals and mining company said all encumbrances created by parent Vedanta Resources (VRL) over Vedanta shares had been fully released. The company said the release followed the complete repayment of the loan facilities and all other liabilities by Vedanta Resources.
According to the company, the loan facilities included $530 million in April 2025, $600 million in June 2025 and $600 million in May 2026. Vedanta informed the stock exchanges that the encumbrances disclosed earlier had been fully released with effect from August 21, 2026.
At 12.16 pm, Vedanta shares were down 0.45 per cent at Rs 275.85 on BSE.
Encumbrances were earlier created over the equity shares of Vedanta Ltd held by direct and indirect subsidiaries of VRLnamely Twin Star Holdings Ltd (TSHL), Welter Trading Limited (Welter), Vedanta Holdings Mauritius Limited (VHML), Vedanta Holdings Mauritius II Limited (“VHMLII”) and Vedanta Netherlands Investments BV. Vedanta said that, under the facilities agreement, a negative lien had been created on the shares of Vedanta held or to be held by the obligors, including TSHL, VHML II and Welter, or any material subsidiary. Under these terms, the obligors, any material subsidiary or any other member of the group, were not permitted to create any encumbrance over Vedanta shares directly or indirectly held by them, or to be acquired by them.
VRL and its direct or indirect subsidiaries were required to retain control over Vedanta or, directly or indirectly, own at least 50.1 per cent of the issued equity share capital of Vedanta.
Given the nature of the conditions and arrangements under the facilities agreement, the encumbrances and other conditions being released were likely to fall within the definition of the term 'encumbrance' under Chapter V of the Takeover Regulations, Vedanta said.
"Pursuant to complete repayment of the facilities and all the other liabilities under the respective Facilities Agreements, all the encumbrances created under the respective Facilities Agreements and as disclosed under the Earlier Disclosures, have been fully released with effect from August 21, 2026," Vedanta told BSE and NSE. The update came as Vedanta shares remained in the red, though they had pared some losses in Tuesday's trade.
Vedanta Ltd cut losses and was trading half a per cent lower on Tuesday after the Anil Agarwal-led metals and mining company said all encumbrances created by parent Vedanta Resources (VRL) over Vedanta shares had been fully released. The company said the release followed the complete repayment of the loan facilities and all other liabilities by Vedanta Resources.
According to the company, the loan facilities included $530 million in April 2025, $600 million in June 2025 and $600 million in May 2026. Vedanta informed the stock exchanges that the encumbrances disclosed earlier had been fully released with effect from August 21, 2026.
At 12.16 pm, Vedanta shares were down 0.45 per cent at Rs 275.85 on BSE.
Encumbrances were earlier created over the equity shares of Vedanta Ltd held by direct and indirect subsidiaries of VRLnamely Twin Star Holdings Ltd (TSHL), Welter Trading Limited (Welter), Vedanta Holdings Mauritius Limited (VHML), Vedanta Holdings Mauritius II Limited (“VHMLII”) and Vedanta Netherlands Investments BV. Vedanta said that, under the facilities agreement, a negative lien had been created on the shares of Vedanta held or to be held by the obligors, including TSHL, VHML II and Welter, or any material subsidiary. Under these terms, the obligors, any material subsidiary or any other member of the group, were not permitted to create any encumbrance over Vedanta shares directly or indirectly held by them, or to be acquired by them.
VRL and its direct or indirect subsidiaries were required to retain control over Vedanta or, directly or indirectly, own at least 50.1 per cent of the issued equity share capital of Vedanta.
Given the nature of the conditions and arrangements under the facilities agreement, the encumbrances and other conditions being released were likely to fall within the definition of the term 'encumbrance' under Chapter V of the Takeover Regulations, Vedanta said.
"Pursuant to complete repayment of the facilities and all the other liabilities under the respective Facilities Agreements, all the encumbrances created under the respective Facilities Agreements and as disclosed under the Earlier Disclosures, have been fully released with effect from August 21, 2026," Vedanta told BSE and NSE. The update came as Vedanta shares remained in the red, though they had pared some losses in Tuesday's trade.