Vedanta Group is a globally diversified natural resources and technology conglomerate with operations in India, South Africa, Liberia, Namibia, South Korea, Taiwan and Japan. It explores, extracts, and processes minerals and oil & gas.
Key Business Areas
- Oil & Gas
- Zinc-Lead-Silver
- Aluminium
- Iron Ore
- Steel
- Copper
- Ferro Alloys
- Power
- Nickel
- Semiconductors
- Glass
Financial and Operational Highlights
- GDP Contribution: Vedanta contributes approximately 1.4% to India's total GDP.
- Revenue: The group has a revenue of ₹1,45,404 crore.
- Dividend Payout: Vedanta has paid over ₹1 lakh crore in dividends in the last 10 years, and is known as one of the highest dividend-paying large-cap companies. In FY 2024-25, the total dividend declared was Rs 43.5 per equity share.
- Social Investment: The group has made social investments of over ₹454 crore.
- Employment: Vedanta provides direct and indirect employment to approximately 90,000 people.
- Overseas Investment: It has raised and invested $35 billion overseas in India.
- Debt Reduction: Vedanta Resources aims to reduce its debt by $3 billion by FY27 without stake dilution, with a plan to halve it over the next three years.
- Production Growth: The company is aiming to double the production levels of its subsidiary Hindustan Zinc.
- Net-Zero Target: Vedanta is committed to reducing carbon emissions to net-zero by 2050 or sooner, with a pledge of $5 billion over the next 10 years for this transition.
- Rajasthan Investment: Vedanta is planning to invest ₹50,000 crore in Assam and Tripura's oil and gas sector over the next 3-4 years, aiming to produce 100,000 barrels of oil and gas daily and generate employment for one lakh youths.
Demerger and Restructuring
Vedanta is currently undergoing a demerger, splitting into separate entities for aluminium, oil and gas, power, and base metals, to unlock shareholder value and enhance operational efficiency. The demerger is expected to be completed by September 30, 2025. Each Vedanta shareholder will receive 1 additional share in each of the newly demerged companies.
The overhaul will allow the group to list each of its key businesses: aluminum, oil & gas, power, iron & steel, along with the publicly traded core company Vedanta.
Sustainability and ESG Initiatives
Vedanta has a comprehensive ESG framework and is committed to sustainable development. The company has pledged ₹5,000 crore for socio-economic development in India over the next five years.
Key initiatives include:
- Zero Harm, Zero Waste, Zero Discharge: Vedanta embraces this philosophy in its operations.
- Net Water Positivity: Aiming to achieve net water positivity by 2030.
- Community Empowerment: Focusing on uplifting women and children through education, nutrition, healthcare, and welfare programs.
- Nand Ghars: Developing model anganwadis focused on eradicating child malnutrition, providing education and healthcare, and empowering women with skill development.
- Fly Ash Utilization: Dispatching fly ash for use in cement manufacturing and highway projects.
Leadership
- Anil Agarwal: Founder and Chairman of Vedanta Resources.
- Navin Agarwal: Vice Chairman.
- Priya Agarwal Hebbar: Non-Executive Director, playing a crucial role in strengthening Vedanta’s ESG practices.
- Arun Misra: CEO of Hindustan Zinc.
Anil Agarwal intends to appoint professional managers rather than kin to top posts, separating ownership and management. He has also been grooming his daughter, Priya Agarwal Hebbar, to take over the conglomerate.
Hindustan Zinc Limited (HZL)
HZL, a Vedanta Group company, is the world's largest integrated zinc producer and among the top silver producers globally. It holds approximately 77% of the primary zinc market share in India and supplies to over 40 countries.
- Financial Performance: HZL reported a 47.3% increase in consolidated net profit, reaching Rs 3,003 crore for the quarter ended March 2025.
- Sustainability: Recognized as the world's most sustainable company in the metals and mining category by the S&P Global Corporate Sustainability Assessment 2024.
- Digitalization: HZL launched a digital logistics management system called 'Zinc Freight Bazaar' for zinc procurement.
- Silver Production: HZL is aiming to maximize silver production amid a record rally in prices.
- New Ventures: HZL is foraying into potash mining and is targeting a block in Rajasthan with potential lithium reserves.
Challenges and Controversies
Vedanta has faced controversies related to environmental concerns and community relations. These include:
- Sterlite Copper Plant Closure: The copper smelter in Tamil Nadu was shut down following environmental protests.
- Niyamgiri Mining Project: Faced opposition from local tribes and environmental groups regarding bauxite mining in the Niyamgiri hills in Odisha.
- Water Contamination in Zambia: Faced a lawsuit over water contamination caused by its subsidiary's copper mining operations.