15-Feb-2024
2 mins read
Shares of Vedanta Limited showed a minor decline in the early morning on Thursday, February 15, 2024. After 8.2 crore equity shares exchange hands in the block deal. Earlier, the promoters of Vedanta (VEDL) were looking to sell stake worth $1 Billion in the company to an investment firm GQG partners.
As per details provided by exchange, 2.2% equity stake of worth Rs 2,255 crore in Vedanta exchange hands in a block deal.
The stake sale news came in the market when Vedanta is facing around $6.4 billion outstanding debt, including $4.5 billion bill payment due by Fiscal 2025. As of December 2023, the promoter and the group entities held a total of 63.71% stake in Vedanta Limited.
Over the last one year, GQG partners had increased stakes in other Indian companies including Adani Ports and GMR Airport Infrastructure etc.
Vedanta Limited Q3 FY24 Performance
In third quarter FY24, Vedanta net profit fell 18% to Rs 2,013 crore, due to higher finance and raw material cost. At the same period, last year the company reported a Net profit of Rs 2,464 crore.
Revenue from operations rose 3.8% to Rs 34,968 crore in October-December 2023, from Rs 33,691 crore in the same period previous fiscal. The consolidated quarterly EBITDA came at Rs 8,677 crore up by 21% on QoQ and 22% YoY.
Market Reaction After Block Deal
After the Q3 result posted on January 25, the share price of Vedanta took support near Rs 250 and began to rise and hit a swing high near Rs 285. Today, on February 15, 2024, Vedanta stock price fell after a block deal and trading at Rs 273.85 with a decline of 2.00%.