GLAS Agency Creates Encumbrance over Vedanta Aluminium Metal Shares as part of US$ 2.25 Billion Facility Agreement
GLAS Agency (Hong Kong) Limited has created an encumbrance over the equity shares of Vedanta Aluminium Metal Limited (VAML). This action is linked to a Facility Agreement executed in relation to substantial financing arrangements involving VAML’s controlling group, Vedanta Resources Limited (VRL).The encumbrance was established on 20 July 2026 in connection with a facility agreement. The agreement involves several parties, including GLAS Agency acting as the agent and security agent, among original lenders such as Barclays Bank PLC and Citigroup Global Markets Asia Limited, arrangers, and guarantors from the Vedanta group, which includes Twin Star Holdings Ltd (TSHL), Welter Trading Limited, Vedanta Holdings Mauritius Limited (VHML), Vedanta Holdings Mauritius II Limited (VHMLII), and Vedanta Netherlands Investments B.V (VNIBV).
The facility agreement carried a total maximum commitment aggregating US$ 2,250,000,000. As of the date of the announcement, the original lenders’ commitment amounted to US$ 1,545,000,000, with an additional increase commitment available of up to US$ 705,000,000 through a potential increase lender accession agreement.
The creation of the encumbrance ensures certain conditions are met under the Facility Agreement. These conditions include maintaining control over VAML by the VRL group or holding at least 50.1% of the issued equity share capital of VAML, and preventing any obligor (including TSHL, VRL, VHMLII, and Welter) from creating a security or quasi-security over the shares of VAML.
Details regarding the encumbered shares and the pre-existing financial standing of VAML are presented below:
| Details | Value |
|---|---|
| Shares under Encumbrance | 2,204,724,753 |
| Percentage of Encumbered Shares | 56.38% |
| Date of Encumbrance Creation | 20 July 2026 |
Financial and Equity Details of VAML
The following table outlines the equity structure of Vedanta Aluminium Metal Limited (VAML) before and after the encumbrance was created.
| Metric | Before Encumbrance | After Encumbrance |
|---|---|---|
| Equity Share Listed Capital | ₹ 3,910,388,057 | ₹ 3,910,388,057 |
| Number of Equity Shares (₹ 1 each) | 3,910,388,057 | 3,910,388,057 |
| Total Diluted Share/Voting Capital | N/A | ₹ 3,910,388,057 (Listed Capital) |
The shares of VAML held under encumbrance by GLAS Agency stand at 2,204,724,753, representing 56.38% of the total share capital.
VAML Stock Price Movement
Shares of Vedanta Aluminium Metal Limited are edging higher to ₹436.8 as of 9:55 AM, rallying by 1.30% in live trading after gaining ₹5.60. The stock currently trades within a strong intraday range, having reached a high of ₹438.95 from its low of ₹432.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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