NCLT Greenlights Vedanta Demerger Amid Concerns

The National Company Law Tribunal has approved Vedanta's demerger plan, allowing the conglomerate to split into sector-specific entities. Despite concerns from the Ministry of Petroleum and Natural Gas about potential financial risks and asset misrepresentation, Vedanta assured compliance with all necessary regulations.

The National Company Law Tribunal (NCLT) has sanctioned the demerger plan proposed by Vedanta, a move that will divide the conglomerate into separate entities focused on aluminium, oil and gas, power, and iron and steel.

The tribunal's Mumbai bench, led by Charanjeet Singh Gulati and Nilesh Sharma, officially approved the scheme after the November hearing.

While the Ministry of Petroleum and Natural Gas expressed concerns over financial stability and transparency, Vedanta asserted its adherence to regulatory norms.

(With inputs from agencies.)