NCLT deferred Vedanta’s demerger hearing to September 17 as Sebi’s scrutiny is incomplete and the Petroleum Ministry raised objections.
Case was earlier adjourned to August 20; Petroleum Ministry sought more time to present observations.
Sebi stated it has no further comments and is verifying compliance; NSE confirmed issuing a no-objection certificate.
The National Company Law Tribunal (NCLT) on Wednesday deferred the hearing on Vedanta Ltd's proposed demerger to September 17, as market regulator Sebi is yet to complete the scrutiny of the proposal, while the central government has raised certain objections.
The matter, which was part-heard earlier, had been adjourned to August 20.
On July 2, the Ministry of Petroleum and Natural Gas had objected to Vedanta's proposed demerger before the NCLT Mumbai bench.
Meanwhile, the tribunal was informed by the Securities and Exchange Board of India (Sebi) that it has no further comments on the proposed demerger scheme and is verifying Vedanta's compliance with applicable regulatory norms.
The National Stock Exchange (NSE) legal counsel also confirmed that a no-objection certificate has been issued for the demerger.
However, the legal representative from the Ministry of Petroleum and Natural Gas requested additional time to present the ministry's observations on the scheme at the next hearing.
In a statement, Vedanta said the Ministry of Petroleum and Natural Gas has filed its representation before NCLT Mumbai and the company has filed its response.
"Vedanta's counsel couldn't conclude his arguments today and even the tribunal commented that these arguments cannot be concluded in a single hearing and after discussion with all parties fixed the next date... September 17," it added.
The company said Sebi has issued an administrative warning letter regarding a procedural lapse on the modification of the Scheme, without prior written consent.
This letter is cautionary and does not impose any financial or operational restrictions.
"The Company has already disclosed this development and is fully cooperating with Sebi. Corrective actions have been undertaken, and the Board's comments will be shared with Sebi as advised," the statement added.
Vedanta further clarified on the SC judgment dated August 19, stating that it pertains to a legacy contractual matter and has no bearing on Vedanta's demerger process.
"This Supreme Court judgment is on Talwandi Sabo Power Limited's (TSPL) appeal in relation to the passing on the customs duty benefits availed under the Mega Power Policy to Punjab State Power Corporation Ltd (PSPCL) under the change in law provisions of the power purchase agreement (PPA). We are reviewing the judgement and evaluating the next steps, including legal options available to us," it added.
In September 2023, Vedanta had announced its demerger plan, proposing to create four independent listed companies focusing on aluminum, oil and gas, power, and base metals to streamline operations, improve management focus, and unlock shareholder value.
In March 2025, the deadline for completing the demerger was extended to September 30, 2025, due to pending approvals from the NCLT and other government bodies.
