Hindustan Zinc, Vedanta shares tumble up to 6%; here's why

Shares of Hindustan Zinc Ltd and Vedanta Ltd recorded a sharp drop in Friday's trading session. At last check, Hindustan Zinc was down 6.16 per cent at Rs 566.55, while Vedanta declined 3.94 per cent to Rs 314.55.

The decline came after a Bloomberg report, citing sources, stated that the Centre is considering selling a stake in Hindustan Zinc. Vedanta, the promoter of the company, currently owns a 60.71 per cent stake in the zinc producer.

Business Today, however, could not independently verify the report at the time of publishing this story.

Separately, Anil Agarwal-led Vedanta recently responded to searches conducted by the Enforcement Directorate (ED) at its premises in connection with alleged violations of provisions under the Foreign Exchange Management Act (FEMA).

The company said the searches commenced on June 1 and concluded on June 3, covering its offices in Delhi, Mumbai and Udaipur.

In an exchange filing, Vedanta stated that no penalty or restriction has been imposed by the central agency. "The officers of the company provided all necessary information, documents and clarification as sought by ED. There is no impact on financial, operation or other activities of the company," it said.

Meanwhile, Vedanta's stock has remained in focus due to its ongoing demerger exercise, under which the company is proposed to be split into four separate entities. The listings of these entities are still awaited.

On the sectoral front, Systematix Institutional Equities said Indian metals and mining companies reported a broad-based improvement in Q4 FY26, supported by stronger realisations, volume growth and operating efficiencies.

The brokerage has assigned 'Buy' ratings to both Hindustan Zinc and Vedanta.