Vedanta, led by Anil Agarwal, disclosed on Thursday, March 7, that it has received a regulatory warning from the Securities and Exchange Board of India (SEBI) for “disclosing information related to its unlisted ultimate holding company”.
In a filing to the stock exchange, Vedanta revealed that it received a communication from the National Stock Exchange (NSE) on March 6, 2024, conveying SEBI’s issuance of an administrative warning to the conglomerate.
SEBI has instructed Vedanta to present the warning letter to its board and implement necessary corrective measures to bolster internal controls for corporate announcements and press releases, as stated in the exchange filing.
The warning pertains to breaches of SEBI regulations concerning the “disclosure of information related to its unlisted ultimate holding company”, according to the communication.
In other developments, Vedanta recently announced its intention to reduce debt by up to $3 billion over the next three years, disclosed a senior official at an analyst meeting earlier this month. The company, which operates under the umbrella of Vedanta Resources, is planning to avoid further rollovers of its loans in the upcoming years.
Navin Agarwal, Vice Chairman of Vedanta Ltd and a member of the Promoter Group, stated, “We would be reducing the debt of Vedanta Resources by $3 billion over the next three years. Vedanta Ltd’s cash flow pre-growth capex is estimated to be $3.5-4 billion for the financial year 2025, adequate for secured debt maturities of USD 1.5 billion.” This statement was made at a recent analysts’ meeting.
Vedanta is engaged in various sectors including oil and gas, aluminium, copper, zinc, lead, silver, iron ore, and steel. On Thursday, Vedanta Ltd’s shares closed marginally higher at ₹282.75 each on the BSE.
