Hindustan Zinc Limited has successfully completed the allotment of non-convertible debentures worth ₹1400 crore, marking a significant debt fundraising initiative by the mining company. The allotment was approved by the duly authorized Committee of Directors on February 02, 2026, through a resolution passed by circulation in terms of Section 175 of the Companies Act, 2013.

Debenture Allotment Details

The Committee of Directors approved the allotment of two series of debentures at 12:50 PM IST on February 02, 2026:

Debenture Characteristics

The non-convertible debentures carry specific features that make them attractive to institutional investors:

Regulatory Compliance and Communication

The allotment follows the company's earlier communication dated January 23, 2026, referenced as letter No. HZL/2025-26/SECY/150. The latest intimation was issued under reference number HZL/2025-26/SECY/152, ensuring comprehensive regulatory compliance.

The company has formally informed both BSE Limited and National Stock Exchange of India Limited about this development, maintaining transparency with regulatory authorities and investors. Company Secretary & Compliance Officer Aashima V Khanna digitally signed the official communication, demonstrating adherence to corporate governance standards.

Hindustan Zinc 's promoter Vedanta Limited has announced a significant offer for sale (OFS) of equity shares through the stock exchange mechanism, marking a strategic move to optimize its capital structure and strengthen its balance sheet.

Offer Structure and Timeline

The OFS will take place over two trading days on January 28-29, 2026, through separate windows on BSE and NSE. The offer follows a structured approach with different categories of investors participating on designated days.

Investor Categories and Allocation

The offer is structured with distinct categories for different types of investors, ensuring broad participation while maintaining regulatory compliance.

Non-Retail Category (January 28, 2026):

• Only non-retail investors can participate on T-day
• Minimum 25% reserved for mutual funds and insurance companies
• No single bidder (except mutual funds and insurance companies) can receive more than 25% allocation
• Participants can indicate willingness to carry forward unallotted bids to T+1 day

Retail Category (January 29, 2026):

• Individual investors with bid value not exceeding ₹2,00,000
• Minimum 10% of offer shares reserved for retail investors
• Option to bid at cut-off price or specific price
• No discount offered to retail investors

Financial Implications and Settlement

The OFS represents a substantial divestment opportunity, with the potential to raise significant capital depending on market response and oversubscription exercise.

Settlement will occur on a trade-for-trade basis, with different timelines based on investor category and participation day. Non-retail investors with 100% upfront payment will see T+1 settlement for T-day bids, while retail investors follow standard secondary market settlement procedures.

Regulatory Framework and Conditions

The offer operates under comprehensive SEBI guidelines for stock exchange mechanism offers, ensuring transparency and investor protection. Vedanta reserves rights to withdraw the offer before opening or cancel it post-bidding under specific conditions, including insufficient demand or settlement defaults.

Key operational aspects include 100% upfront margin requirements for most categories, real-time fund collection and release mechanisms, and strict compliance with securities transaction regulations. The designated stock exchange is NSE, with NSE Clearing Limited serving as the clearing corporation.

Citigroup Global Markets India Private Limited will act as the seller's broker, facilitating the entire transaction process across both stock exchanges with appropriate regulatory oversight and market dissemination requirements.

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