Vedanta’s share price dropped by nearly 65% following its strategic demerger into five separate entities, which is not indicative of a market crash. Before the demerger, Vedanta shares traded at around ₹773, but after the adjustment, the price fell to approximately ₹290.
The demerger ratio stands at 1:5, meaning eligible shareholders will receive one new share in each of the four newly formed companies for every share they hold in Vedanta Ltd. Analysts at ICICI Direct estimate that the combined value of these entities could reach ₹820 per share.
Following the price drop, Vedanta’s market capitalization was measured at ₹1,08,141.78 crore. The previous 52-week high was ₹794.90, while the new low post-demerger is set at ₹271.50.
The restructuring aims to unlock value by separating different business segments including aluminium, oil and gas, power, and steel. As one analyst noted, “Vedanta didn’t actually crash 60%. What you saw was a price adjustment after the demerger.”
The new entities are expected to be listed within 4 to 8 weeks from the record date, with anticipated listing dates around June to July 2026. Investors should closely monitor the market value of each separated business once they are officially listed.
