Vedanta Ltd, India’s largest diversified natural resources company, has announced plans to demerge its surplus real estate assets into a separate entity, Vedanta Property Platforms Ltd (VPPL), to unlock value for shareholders.
The proposed demerger comes within three months of Vedanta completing its five-way restructuring, which resulted in the listing of four new independent entities on the NSE and BSE.
Value unlocking
The demerger will be carried out through a vertical split, under which shareholders will receive one share of VPPL for every 20 shares held in Vedanta Ltd.
The surplus real estate portfolio comprises 22 assets across India, including 14 land parcels spread over 2,264 acres and eight residential and office properties with a total built-up area of 53,185 sq. ft.
Growth platform
“After the recent success of the five-way demerger, we plan to demerge the surplus real estate assets into an independent pure-play company to unlock significant value for the stakeholders,” said Vedanta Group Chairman Anil Agarwal.
The company said the restructuring is aimed at creating a scalable real estate platform, unlocking value from surplus assets, improving operational execution, optimising capital allocation and financial returns, and accelerating growth through strategic partnerships.