Mumbai-listed Vedanta is likely to receive approval from key lenders for the revenue stream-wise demerger of the company by the end of May, according to a senior executive. The demerger was announced in September last year and involves the formation of six separate companies, each housing a different business segment of Vedanta, including aluminium, power, oil and gas, base metals, and steel. The file is currently with the Securities and Exchange Board of India (SEBI), and the remaining crucial step is obtaining the lenders’ approval.

Group Chief Financial Officer Ajay Goel stated that the demerger is on track and is expected to be concluded by the end of the calendar year. The approval process requires 75% approval by value, and Vedanta has already obtained approval from various private lenders. Approval from lenders, such as State Bank of India and Canara Bank, is pending, and the company is working closely with the bankers to secure these approvals by the end of May.

State Bank of India has loaned Vedanta approximately ₹9,208 crore, while Canara Bank’s exposure is ₹1,730 crore, as per disclosures made by rating agencies. Goel reassured that there is no concern or apprehension on the banks’ end, addressing queries related to debt allocation post-demerger.

Vedanta’s consolidated net sales declined by 6% year-on-year to ₹34,937 crore, while the consolidated net profit fell by 27% year-on-year to ₹2,273 crore.