Vedanta board approves sale of 1.59% stake in Hindustan Zinc via OFS

Oil-to-metals conglomerate Vedanta Ltd on Tuesday (January 27) said its duly authorised Committee of Directors has approved the sale of up to 1.59% stake in Hindustan Zinc Ltd through an offer for sale route.

The proposed sale involves up to 6.7 crore equity shares of Hindustan Zinc Ltd, representing 1.59% of the issued and paid-up equity share capital of the company. Vedanta said the transaction will be executed through the stock exchange mechanism in line with applicable laws and the circulars issued by the Sebi.

Third Quarter Results

Net profit for the period grew by 47% from the same quarter last year to ₹3,879 crore from ₹2,647 crore. Profitability was also aided by a 33% increase in other income.

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Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) for the quarter stood at ₹6,005 crore, higher than the CNBC-TV18 poll of ₹5,614 crore. On a year-on-year basis, Hindustan Zinc's EBITDA increased by 34.7%.

EBITDA margin for the quarter expanded by 300 basis points to 55% from 52% last year. The margin figure was also in-line with the CNBC-TV18 poll estimate of 54.9%.

Shares of Hindustan Zinc Ltd ended at ₹726.60, up by ₹27.75, or 3.97%, on the BSE.