Vedanta Share Price Declines by Over 3% Amid Preparations for Demerger Implementation

Vedanta Share Price Falls Over 3% as Demerger Record Date Approaches

The share price of Vedanta, a leading metals and mining major, fell by over 3% on Thursday, extending its decline for the fourth consecutive trading session. The company's shares dropped as much as 3.17% to ₹733.05 apiece on the BSE. This decline comes on the heels of the announcement of its demerger record date, which has been set for May 1, 2026.

The Anil Agarwal-led conglomerate recently announced its demerger into five separate publicly listed companies - Vedanta Aluminium, Vedanta Oil & Gas, Vedanta Power, Vedanta Iron & Steel, and Vedanta Limited. Vedanta shareholders will receive equity shares in four demerged businesses in a 1:1 ratio. The demerger record date of May 1, 2026, will determine the eligible shareholders to receive shares in the newly carved-out businesses. The company's board of directors have also fixed May 1 as the demerger effective date.

However, due to the stock market holiday on May 1 on account of 'Maharashtra Day', Vedanta shares will start trading ex-date for demerger from April 30, Thursday. Investors must buy Vedanta shares at least one trading day before the ex-date (April 30) to be eligible for the demerger benefits.

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For the purpose of price discovery, Vedanta Ltd will conduct a special pre-open session (SPOS) on April 30 as per the regulations. The special session will be held from 9:15 to 9:45 AM, and normal trading in Vedanta shares will start from 10:00 AM, reflecting ex-demerger pricing.

Market experts believe that the demerger will unlock value for Vedanta shareholders. Avinash Gorakshakar, a market expert and private wealth management consultant, pegs the fair value (SOTP) of the combined entities at ₹850 - ₹900 per share, implying an upside potential of around 19% from Wednesday's closing price.

Sunny Agrawal, Head of Fundamental Research at SBI Securities, also believes that the fair value of Vedanta to be ₹880 - ₹900 over a time horizon of 12-18 months. He attributes around 54% and 33% of the total fair value to the Vedanta Aluminium Metal Ltd and Vedanta Ltd business, respectively.

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At 11:20 AM, Vedanta share price was trading 1.79% lower at ₹743.50 apiece on the BSE.