By Nuvama Research

Vedanta (VEDL) recently announced a demerger of its existing businesses into six listed entities. This demerger is designed as a straightforward vertical split, where for every one share of VEDL, shareholders will also receive one share in each of the five newly listed companies. We view this demerger, expected to be completed within 12-15 months, as a positive development. It offers investors opportunities to invest in standalone businesses, providing a pure-play approach. However, it’s important to note that this demerger does not address the debt concerns of Vedanta Resources (VRL), the parent company, which still needs to repay $4.2 billion in debt by FY25E.

Despite this, our target price remains unchanged at Rs …