Vedanta Approves ₹3,000 Crore Fundraise via NCDs to Strengthen Capital Structure

Board Clears Private Placement of Debentures​

New Delhi, February 26: The Board of Directors of Vedanta Ltd has approved a proposal to raise up to ₹3,000 crore through debentures on a private placement basis, reinforcing its ongoing capital management strategy.

The fundraising is aimed at strengthening the company’s capital structure while optimizing borrowing costs, as the conglomerate continues its efforts to streamline liabilities and improve financial efficiency.

Details of the Non Convertible Debenture Issue​

Vedanta will issue up to three lakh unsecured, rated, listed, and redeemable non convertible debentures. Each debenture will carry a face value of ₹1,00,000, aggregating to a total issue size of ₹3,000 crore.

The non convertible debentures will be listed on BSE, enabling liquidity and transparency for investors participating in the issue.

Strong Track Record of Debt Market Participation​

The company has consistently accessed both domestic and international debt markets to manage its funding requirements. Previous debt issuances have seen robust investor participation.

In October last year, a $500 million bond issue attracted significant demand, with subscriptions reaching three times the offered amount. Similarly, an NCD issuance in June last year was nearly 60 per cent oversubscribed, reflecting continued investor appetite for the company’s debt instruments.

Focus on Debt Reduction and Cost Optimization​

The latest fundraise comes as Vedanta gradually reduces its debt levels and undertakes refinancing initiatives to lower overall borrowing costs. By tapping the debt market through structured instruments such as NCDs, the company continues to recalibrate its liability profile while maintaining access to diversified funding sources.

The move underscores Vedanta’s ongoing efforts to optimize its financial structure amid evolving market conditions.