Vedanta Share Price Rises After Promoter Group Clears $300 Million Debt and Releases Encumbrances

On July 8, 2025, Vedanta share price moved up by 0.5% to ₹456.85 after the company announced that its promoter group had repaid loans and released encumbrances on company shares. This positive update boosted investor confidence.

Loan Details with Canara Bank

Twin Star, a part of Vedanta’s promoter group, had taken a $200 million loan from Canara Bank (London Branch) in June 2022. This led to an encumbrance of Vedanta shares held by Twin Star, Welter Trading, VHML, VHMLII, and VNIBV. Another $100 million loan was also taken by Vedanta Resources Ltd in September 2022, creating further encumbrances.

As of July 3, 2025, the $200 million loan by Twin Star has been fully repaid. Vedanta clarified that while encumbrances existed, no actual pledge of shares was made under the loan agreement.

Bond Repayment Update

Vedanta Resources Finance II PLC (VRFII) had also issued bonds worth $600 million at 9.25% interest, due in 2026. These bonds were guaranteed by Vedanta Resources Ltd.

The company has now fully repaid the bond amount. A No Objection Certificate (NOC) was received on July 7, 2025, confirming the redemption of bonds and release of all related encumbrances.

Vedanta Share Price Movement

As of July 8, 2025, Vedanta share price was ₹455.50, up 0.29% for the day. The stock opened at ₹453.90, touched a high of ₹458.20 and a low of ₹452.20. Vedanta has a market capitalisation of ₹1.70 lakh crore, a P/E ratio of 11.24, and an attractive dividend yield of 8.67%. Over the past year, the stock has traded between a 52-week high of ₹526.95 and a low of ₹363.00. The company’s quarterly dividend amount stands at ₹9.87 per share.

Read More: Dividend, Bonus & Stock Split This Week July 7–11: Sun Pharma, JSW Steel, Pfizer, Titan, and More.

Conclusion

The repayment of loans and bonds by Vedanta’s promoter group and the removal of encumbrances have improved investor sentiment. The company’s clean-up of debt obligations signals better financial discipline and transparency, which may support further gains in the stock price.

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