Vedanta shares surged to a new 52-week high on January 12, gaining significant momentum as investor sentiment strengthened ahead of the company's planned 1:5 demerger. The stock jumped 2.81% during the trading session, reaching ₹627 and demonstrating strong market confidence in the company's restructuring initiatives.

Strong Stock Performance Continues

The mining and metals conglomerate has delivered impressive returns across multiple timeframes, reflecting sustained investor interest in the company's strategic transformation.

NCLT Approves Major Restructuring Scheme

The rally gained additional momentum following the National Company Law Tribunal (NCLT) Mumbai Bench's approval of a comprehensive Scheme of Arrangement on January 9. The tribunal sanctioned the restructuring plan involving several key subsidiaries under Sections 230 to 232 of the Companies Act, 2013.

The approved scheme encompasses multiple subsidiaries including:

• Talwandi Sabo Power Limited (TSPL)
• Vedanta Aluminium Metal Limited
• Malco Energy Limited
• Vedanta Base Metals Limited
• Vedanta Iron and Steel Limited

Strategic Business Separation Initiative

According to the company's official communication, the reorganisation aims to separate Vedanta's diversified operations into focused business verticals. This strategic move will create distinct entities specializing in aluminium, power, iron and steel, and base metals operations.

Under the approved arrangement, Talwandi Sabo Power Limited, a wholly owned subsidiary, will assume control of Vedanta's Merchant Power Undertaking. The company filed the necessary exchange documentation on January 10, referencing earlier communications from September 16, 2025, and October 18, 2025.

Analyst Outlook and Valuation

Citi maintains a 'Buy' rating on Vedanta with a target price of ₹585. The brokerage firm notes that Vedanta's businesses currently trade at approximately 5x EV/EBITDA on a spot basis, indicating a conglomerate discount that could potentially reduce following the demerger as individual businesses begin independent trading.

The planned demerger represents a significant milestone in Vedanta's corporate strategy, with the company targeting completion by March 2026. This timeline provides investors with a clear roadmap for the anticipated structural changes and potential value unlocking across the separated business verticals.

Vedanta Ltd witnessed a significant block trade transaction on the National Stock Exchange (NSE), highlighting institutional or large investor activity in the mining and metals conglomerate's shares.

Transaction Details

The block trade involved substantial volume and value, demonstrating significant market interest in Vedanta's equity shares.

Block Trade Significance

Block trades represent large-volume transactions that are typically executed by institutional investors, mutual funds, or other significant market participants. These transactions are often conducted through special trading mechanisms to minimize the impact on regular market trading and price discovery.

The execution price of ₹625.20 per share reflects the negotiated value between the buyer and seller for this substantial equity transaction. Such trades often indicate strategic positioning by institutional investors or portfolio rebalancing activities.

Market Implications

The ₹18.65 crore transaction value represents a meaningful equity movement in Vedanta's shares. Block trades of this magnitude typically attract market attention as they may signal institutional confidence or strategic investment decisions by large market participants.

The transaction demonstrates continued institutional interest in Vedanta's equity, with the substantial volume indicating significant capital deployment in the company's shares through the NSE platform.