Anil Agarwal-owned Vedanta Ltd. has declared its second interim dividend worth ₹11 per share. The record date for the same has been fixed as December 27. The total amount spent by the company for the purpose of this interim dividend will be ₹4,089 crore.
A record date means shareholders who own shares of the company at that particular date will be eligible for the dividend payout.
This dividend announcement comes after its subsidiary Hindustan Zinc Ltd. had declared its second interim dividend worth ₹6 per share, making it the lowest payout in five years.
Based on the September quarter shareholding pattern, Vedanta held a 64.92% stake in Hindustan Zinc, which translated into a total payout of ₹1,645 crore.
Vedanta's parent company, Vedanta Resources Plc., holds a 63.71% stake in the listed entity. This means that the parent company will receive a total dividend payout of ₹2,605 crore.
Earlier this year, the company had approved its first interim dividend of ₹18.5 per share, amounting to ₹6,877 crore.
In financial year 2023, the mining giant gave dividends on five occasions. The total dividend paid was ₹101.50.
Interestingly, these dividend announcements come right ahead of Vedanta's debt repayment deadline. The mining major has repayments worth $1 billion lined up in January 2024.
Vedanta Chairman Anil Agarwal had told CNBC-TV18 earlier that the company has all the options open when it comes to debt repayments.
Last week, Vedanta's parent company had signed a refinancing facility worth $1.25 billion along with a new credit facility as well.
VRL in a statement said the fundraising will create a long-term sustainable capital structure for the company. It will also demonstrate the company's continued ability to access global capital markets and investor confidence in the underlying business.
However, the names of the lenders were not disclosed.
Vedanta's board will also meet on Tuesday, December 19 to consider a proposal to raise funds.
Shares of Vedanta ended 1.5% higher on Monday at ₹261. The stock is still down nearly 20% for the year.
First Published: Dec 18, 2023 3:44 PM IST
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