Overview

• The NCLAT granted an interim stay on the NCLT’s March 4 order, pausing the rejection of Vedanta’s power business demerger into TSPL and keeping its wider reorganisation on track.
• A two-member appellate bench found the power scheme severable from other transfers, warning that lifting the stay could jeopardise separate motions for three sister units.
• The NCLT initially dismissed the scheme after SEPCO Electric Power alleged TSPL concealed a ₹1,251 crore liability, a breach of disclosure rules under Section 230(2)(a) of the Companies Act.
• Vedanta reiterated its commitment to unlocking long-term stakeholder value through the demerger and targets stock exchange listings for its four new entities by late September.
• The matter is slated for the next hearing on August 4, when tribunals will review stay conditions and address outstanding creditor objections.