Vedanta Extends Demerger Deadline to March 2026, Awaiting Government Nod

Anil Agarwal-led Vedanta Ltd has once again extended the timeline for its long-awaited demerger. The company announced on Tuesday that the deadline has been pushed to March 2026, from the earlier September 30, 2025. The decision comes as the group continues to await approvals from the National Company Law Tribunal (NCLT) and other government authorities.

Demerger Details and Rationale

The restructuring plan, when completed, will split Vedanta into four independent companies: Vedanta Aluminium Metal Ltd, Talwandi Sabo Power Ltd (TSPL), Malco Energy Ltd, and Vedanta Iron and Steel Ltd. According to the company, this separation will help unlock greater shareholder value and allow each business vertical to sharpen its operational focus.

The demerger deadline was initially set for March 31, 2025, but had been extended to September 30 before this latest revision. Vedanta clarified that the extension is purely to meet pending regulatory and tribunal conditions.

Recent Developments and Market Reaction

In September, Vedanta received a significant boost to its restructuring plans when the National Company Law Appellate Tribunal (NCLAT) cleared TSPL to move ahead with its separation. This overturned an earlier ruling that had temporarily halted the process.

The green light came after TSPL reached a settlement with Chinese contractor Sepco Electric Power Construction Corp, which had opposed the demerger, citing unpaid dues worth ₹1,251 crore.

Read More: Lenders Tell Vedanta, Adani to Rework Jaiprakash Bids and Clarify Funding!

Vedanta Share Price Performance 

As of October 01, 2025, at 12:15 PM, Vedanta share price is trading at ₹460.35 per share, reflecting a decline of 1.17% from the previous closing price. 

Conclusion

By extending the demerger deadline to March 2026, Vedanta has given itself more time to secure necessary approvals and complete the separation of its core businesses. Once finalised, the move is expected to streamline operations and create focused standalone entities, enhancing value creation for stakeholders.

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