Vedanta Iron and Steel Limited (VISL)

Vedanta Iron and Steel Limited (VISL) announced the vesting of Employee Stock Option Grants – 2023 effective November 04, 2026. This follows the VISL ESOS Special Purpose Demerger Scheme adopting pre-demerger grants from Vedanta Limited (VEDL). Out of 55,16,340 total options vested across VEDL and resulting companies, 6,33,976 options vested specifically for VISL employees. Options are exercisable at par value within an 8-month period.

• A total of 55,16,340 options vested under the ESOS 2016 scheme effective November 04, 2026.
• VISL employees account for 6,33,976 vested options out of the total pool.
• Options were initially granted out of a total pool of 1,84,14,252 options granted in 2023.
• Exercise price is fixed at par value, with an exercise window of 8 months.

Vedanta Iron and Steel Limited's subsidiary, ESL Steel Limited, has received two orders from the Regional Director (Eastern Region), Ministry of Corporate Affairs, compounding past non-compliances under Section 441 of the Companies Act, 2013. The violations pertained to disclosure non-compliance under Section 134(3)(f) in the Board's Report for FY 2018-19 and FY 2019-20. The Regional Director has disposed of the compounding applications upon payment of the compounding fees. The exact monetary amount of the compounding fees was not disclosed in the filing, but the matter stands resolved.

• Compounding orders received on November 03, 2026, from the Regional Director, Eastern Region, MCA
• Relates to Section 134(3)(f) non-compliance in the Board's Report for FY 2018-19 and FY 2019-20
• Orders passed under Section 441 of the Companies Act, 2013, disposing of the applications
• Compounding fee amounts were not disclosed by the company

Vedanta Iron and Steel Limited (VISL) has issued a Postal Ballot Notice to seek shareholder approval for material related party transactions (RPTs) involving the company and its key subsidiaries, including Sesa Resources, ESL Steel, and Bloom Fountain. The e-voting window begins on October 29, 2026, and concludes on November 27, 2026, with a cut-off date of October 23, 2026. VISL noted that pre-demerger standalone turnover for FY2026 was nil, requiring statutory approvals under SEBI LODR, though consolidated revenue was ₹13,339 crore. The individual transactions disclosed include relatively small operational amounts, such as goods and services (₹11.96 crore) and interest expenses (₹20 crore).

• Seeking shareholder approval for material RPTs via remote e-voting open from October 29 to November 27, 2026
• Record cut-off date for eligible voting members set as October 23, 2026
• Identified transactions include ₹11.96 crore for purchase of goods & services and ₹20 crore for interest expense
• Company consolidated FY2026 revenue noted at ₹13,339 crore, against pre-demerger standalone turnover of Nil
• Transactions cover subsidiaries including Sesa Resources, Sesa Mining, Bloom Fountain, and ESL Steel

Vedanta Iron and Steel Limited reported its Q2 and H1 FY27 results alongside an investor presentation following its recent demerger. For H1 FY27, revenue rose 8% YoY to ₹6,450 crore while EBITDA jumped 54% YoY to ₹598 crore, driving an EBITDA margin expansion of 275 bps to 9%. The company narrowed its H1 net loss to ₹203 crore from ₹622 crore in H1 FY26. For Q2 FY27, revenue stood at ₹2,788 crore with an EBITDA of ₹83 crore and a net loss of ₹324 crore, impacted by planned plant shutdowns and seasonal disruptions.

• H1 FY27 EBITDA grew 54% YoY to ₹598 crore with margins expanding 275 bps to 9%
• H1 FY27 revenue rose 8% YoY to ₹6,450 crore; Q2 FY27 revenue declined 2% YoY to ₹2,788 crore
• Net loss for H1 FY27 narrowed significantly to ₹203 crore compared to ₹622 crore in H1 FY26
• Q2 FY27 EBITDA was ₹83 crore (+56% YoY) with a net loss of ₹324 crore
• CRISIL assigned VISL an AA/Stable credit rating during the period

Vedanta Iron and Steel Limited (VISL) approved its unaudited standalone and consolidated financial results for Q2 and H1 ended September 30, 2026, with an unmodified audit opinion from S.R. Batliboi & Co. The company booked an exceptional expense of ₹37 crore (₹28 crore net of tax) related to stamp duty fees for the transfer of land, building, and mining rights under its demerger scheme. Operationally, five subsidiaries contributed total revenue of ₹120 crore and ₹16 crore PAT for the quarter, alongside ₹575 crore net cash outflows for H1. Additionally, the MetCoke business acquired from fellow subsidiary MALCO Energy on April 30, 2026, for ₹1 was integrated with a ₹299 crore negative net worth booked into capital reserves.

• Booked an exceptional item of ₹37 crore (net ₹28 crore) in Q2 FY27 towards stamp duty on transfer of assets and mining rights
• Allotted 391,03,88,057 equity shares of ₹1 each pursuant to the demerger scheme of the Iron Ore Undertaking from Vedanta Limited
• Five subsidiaries contributed ₹120 crore revenue and ₹16 crore PAT for Q2, with ₹575 crore H1 net cash outflows
• Integrated MetCoke business from MALCO Energy for ₹1 consideration, adjusting a negative net worth of ₹299 crore into capital reserve

Vedanta Iron and Steel Limited's subsidiary, ESL Steel Limited, received a Demand-cum-Show Cause Notice on October 14, 2026, from GST authorities in Rourkela. The notice proposes recovery of ₹2,76,135.61 in IGST related to alleged short payments under the Reverse Charge Mechanism for FY 2022-23. The discrepancy stems from reconciliation differences between GSTR-3B and GSTR-2B filings, along with applicable interest and penalties. Given the negligible quantum relative to quarterly revenues exceeding ₹3,600 crore, the company expects no material operational or financial impact.

• Proposed recovery of IGST amounting to ₹2,76,135.61
• Pertains to alleged short payment under Reverse Charge Mechanism for FY 2022-23
• Triggered by differences between GSTR-3B and GSTR-2B filings
• Notice issued by Superintendent, Central Tax, GST & Central Excise, Lathikata Range, Rourkela

Vedanta Iron and Steel Limited's subsidiary, ESL Steel Limited, received a Demand-cum-Show Cause Notice from the GST authority in Rourkela on October 14, 2026. The department has proposed recovery of ₹7,77,094 (CGST ₹3,88,547 and SGST ₹3,88,547) for alleged short payment under Reverse Charge Mechanism on DMF and NMET contributions for FY 2022-23. The demand includes applicable interest and penalty. Given VISL's quarterly revenue base of ₹3,662 crore in Q1 FY27 (June 2026), the financial impact is negligible.

• Subsidiary ESL Steel received a GST Demand-cum-Show Cause Notice amounting to ₹7,77,094
• Demand comprises CGST of ₹3,88,547 and SGST of ₹3,88,547 plus interest and penalty
• Notice pertains to alleged short payment under RCM on DMF and NMET contributions for FY 2022-23
• Company accessed the notice on October 14, 2026, and confirmed no material financial or operational impact

Vedanta Iron and Steel Limited reported its Q2 FY27 production volumes following its May 2026 demerger from Vedanta. Steel saleable production grew 4% YoY to 532,000 tonnes, while hot metal production rose 3% YoY to 552,000 tonnes, despite being down 9% and 8% QoQ respectively due to scheduled furnace maintenance. Iron ore saleable production dropped 13% YoY and 43% QoQ to 1.52 Mn DMT, primarily due to a 49% YoY reduction in Karnataka volumes, partially offset by a 34% YoY increase in Odisha ore production.

• Total steel saleable production reached 532,000 tonnes in Q2 FY27, up 4% YoY but down 9% QoQ due to planned maintenance
• Iron ore saleable production fell 13% YoY and 43% QoQ to 1.52 Mn DMT, impacted by lower Karnataka output (-49% YoY)
• Odisha iron ore production rose 34% YoY to 0.91 Mn DMT, while Goa operations grew 22% YoY to 0.10 Mn DMT
• Ductile iron pipes output surged 225% YoY to 22,000 tonnes in Q2 FY27
• H1 FY27 steel saleable production stood at 1,114,000 tonnes, up 4% YoY

Vedanta Iron and Steel Limited's subsidiary, ESL Steel Limited (ESL), received an adjudication order dated August 28, 2026, regarding non-compliance under Section 197(15) of the Companies Act, 2013. The violations pertained to disclosure of managerial remuneration during FY 2015-16 to FY 2017-18 under erstwhile management. ESL has been fully exempted from any financial penalty under Section 32A of the Insolvency and Bankruptcy Code (IBC). Penalties, if any, will be remitted by erstwhile Directors and KMPs, concluding the proceedings with zero financial impact on the company.

• Adjudication order received on September 30, 2026, concludes proceedings for FY 2015-16 to FY 2017-18.
• Subsidiary ESL Steel Limited is completely exempted from penalty under Section 32A of the IBC.
• Matter pertains to non-disclosure of director-to-median employee remuneration ratios by erstwhile management.
• Ex-Directors and Ex-KMPs have accepted individual penalties and undertaken to remit them directly.

Vedanta Iron and Steel Limited announced that its shareholders have approved all 9 proposed resolutions via postal ballot with the requisite majority on September 30, 2026. The approved measures include the appointment of M/s S.R. Batliboi & Co. LLP as Statutory Auditors, alongside the implementation and funding of the ESOP 2026 and ESPP 2026 schemes through a trust structure. Resolutions 10 through 16, initially included in the notice dated August 31, 2026, were previously withdrawn via a corrigendum on September 21, 2026.

• Appointment of M/s S.R. Batliboi & Co. LLP as Statutory Auditors passed with 99.95% votes in favour
• Approval of ESOP 2026 implementation via Trust passed with 96.10% total votes in favour
• ESPP 2026 secondary acquisition and company funding resolutions (Nos. 8 & 9) passed with 99.43% approval each
• Total voting participation reached 69.56% of total voting capital (271.99 cr votes polled)
• Resolutions 10 to 16 were withdrawn by the Board on September 21, 2026, and excluded from voting

Vedanta Iron and Steel Limited (VISL) issued clarifications responding to recommendations from proxy advisory firm IiAS regarding its Postal Ballot Notice. The company emphasized that the VISL ESOP 2026 scheme is 100% performance-linked with a minimum vesting period of 3 years and a grant value capped at 100% of an employee's annual fixed pay. It justified extending the scheme to holding company and subsidiary employees based on direct operational linkages and noted that costs would be cross-charged. Additionally, VISL stated that options will be serviced via secondary market trust acquisitions to prevent incremental equity dilution, while clarifying its equity face value is Re. 1 per share, not Rs. 2 as reported by IiAS.

• Vesting under VISL ESOP 2026 is 100% performance-linked with zero time-based or guaranteed vesting
• Options are subject to a minimum vesting period of 3 years within a maximum window of 5 years
• Grant value per employee is capped at 100% of annual fixed pay, with vesting at threshold set at 50% and capped at 100%
• Shares to service the scheme will be acquired via secondary market purchases through a Trust to avoid equity dilution
• Company clarified the face value of each equity share is Re. 1 per share, refuting IiAS's stated Rs. 2

Vedanta Iron and Steel Limited (VISL) received an order on September 1, 2026, from the Regional Provident Fund Commissioner, Goa, levying a surcharge of Rs 28,46,261. The order pertains to alleged deviations from notified investment patterns during FY 2022-23 and FY 2023-24 under Section 125 of the Code on Social Security 2020 read with Section 7A of the EPF Act. VISL stated that it has a strong case on merits and is preparing to challenge the order before an appropriate forum. The financial liability is negligible compared to the company's quarterly revenue of Rs 3,662 crore.

• Surcharge of Rs 28,46,261 imposed by Regional Provident Fund Commissioner, Goa
• Pertains to alleged deviations in investment patterns for FY 2022-23 and FY 2023-24
• Order received on September 01, 2026
• Company exploring legal remedies to challenge the order on merits

Vedanta Iron and Steel Limited (VISL) has issued a postal ballot notice seeking shareholder approval for 16 resolutions. Key proposals include the appointment of M/s S.R. Batliboi & Co. LLP as statutory auditors, implementation of ESOP 2026 and ESPP 2026 via a Trust structure (including secondary market share acquisition), and approval for material related-party transactions (RPTs) for VISL and its key subsidiaries. E-voting opens on September 1, 2026, and closes on September 30, 2026, with the cut-off date set as August 28, 2026.

• Remote e-voting window runs from September 1, 2026, to September 30, 2026, with an August 28, 2026 cut-off date.
• Proposes appointment of M/s S.R. Batliboi & Co. LLP, Chartered Accountants, as Statutory Auditors.
• Seeks shareholder approval for 'VISL ESOP 2026' and 'VISL ESPP 2026' schemes funded via Trust for secondary share purchases.
• Notes FY2026 consolidated revenue of ₹13,339 crore to provide scale context for operational related-party transactions.