Vedanta’s Hindustan Zinc to Raise ₹500 Crore via NCDs

11 Mar 2025 , 01:38 PM

The board of Hindustan Zinc Ltd, a unit of Vedanta Group, has approved the raising of ₹500 crore through private placement of unsecured, redeemable, rated, and listed non-convertible debentures (NCDs). On March 10, 2025, the company’s Committee of Directors approved the decision.

The issuance will comprise three separately transferable and redeemable principal parts (STRPPs)

• STRPP 1: ₹100 crore (10,000 debentures)
• STRPP 2: ₹100 crore (10,000 debentures)
• STRPP 3 : ₹300 crores (30,000 debentures)

The principle amount of these debentures shall not exceed ₹500 crore, with a total of 50,000 debentures to be issued. The capital will be raised via private placement only, to institutional and high-net-worth investors.

Hindustan Zinc’s mined metal production was down 2% year-on-year in the third quarter of the current fiscal year at 265 kilotonnes (kt). The decrease was due to reduced ore production at Agucha and the SK mines offset in part by improved metal grades and mill recovery.

Mined metal production was up 3% q-o-q due to higher grades, and higher production at its Agucha and Zawar mines. Quarterly refined metal production at 259 kt was relatively flat compared to the prior year and down 1% sequentially as a result of a planned maintenance shutdown.