Vedanta has announced a significant shift in its dividend policy, moving away from its long-standing commitment of distributing at least 30% of its profits as dividends.
This change comes as the company prepares for a major restructuring, including a proposed demerger into multiple business entities.
Previously, Vedanta’s predictable dividend payouts made it a favorite among income-focused investors.
The guaranteed minimum payout ensured steady returns, attracting those seeking regular income from their investments.
However, the new policy will now give the company’s board greater discretion in deciding dividend distributions.