Vedanta Resources Limited has filed a revised disclosure with stock exchanges regarding the creation of encumbrance over equity shares of Vedanta Limited held by its subsidiaries. The disclosure, dated February 16, 2026, revises an earlier filing from February 02, 2026, and pertains to a significant financing arrangement that affects the company's shareholding structure.

Facility Agreement Details

The encumbrance stems from a facility agreement executed on January 30, 2026, providing total commitment aggregating up to US$ 350,000,000. The agreement involves Vedanta Resources Limited as the borrower, with Madison Pacific Trust Limited acting as agent for the benefit of lenders.

Encumbered Shareholding Structure

The encumbrance covers shares held by five key subsidiaries of Vedanta Resources Limited, representing a substantial portion of Vedanta Limited's equity capital.

Nature of Encumbrance

The facility agreement establishes several key restrictions and obligations that constitute the encumbrance:

• Negative Lien: Created on shares of Vedanta Limited held or to be held by obligors including the subsidiary companies
• Non-disposal Undertaking: Prohibits creation of any encumbrance over shares directly or indirectly held by obligors
• Control Maintenance: Requires VRL Group to retain control over Vedanta Limited and maintain at least 50.1% ownership of issued equity share capital

The company clarified that no physical pledge has been created over the equity shares in relation to the facilities as of the disclosure date.

Facility Utilization

According to the disclosure, borrowed amounts under the facility will be applied toward:

• Repayment of and payment of interest on existing financial indebtedness of the VRL Group
• Payment of interest, fees, costs and expenses related to the financing transactions
• General corporate purposes of the VRL Group

Regulatory Compliance

The disclosure has been made under Regulation 31 of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, considering the definition of "encumbrance" under Chapter V of the Takeover Regulations. The filing indicates that 99.99% of promoter shareholding is now encumbered, representing more than 20% of total share capital of the listed company.

The revised disclosure adds clarity regarding the lender structure, noting that while First Abu Dhabi Bank PJSC and Mashreqbank PSC are the original lenders, other incoming lenders may accede to the facility agreement for the balance commitment from time to time.

Vedanta Ltd witnessed significant institutional trading activity with a substantial block trade executed on the National Stock Exchange (NSE). The transaction represents a notable movement in the mining giant's shares, highlighting continued investor interest in the metals and mining sector.

Block Trade Details

The NSE block trade involved substantial volume and value, demonstrating significant institutional participation in Vedanta's stock.

Market Implications

Block trades of this magnitude typically indicate strategic positioning by institutional investors, mutual funds, or other large market participants. Such transactions are executed outside the regular market to avoid impacting the stock's market price during normal trading hours.

The execution price of Rs. 650.45 per share reflects the current market valuation at which institutional investors are willing to transact in Vedanta's equity. The substantial volume of over 2.5 lakh shares suggests significant institutional interest in the company's stock.

Trading Significance

This block trade activity demonstrates the continued liquidity and institutional participation in Vedanta's shares. Such large-volume transactions often reflect portfolio rebalancing, strategic investments, or institutional fund movements within the metals and mining sector.