Vedanta Resources discloses book value of Indian arm's equity share

Vedanta Resources said on Wednesday that the book value of the equity share of its Indian subsidiary as per the delisting regulations is Rs 89.38 per share.

The book value of the company's (Indian) flagship arm Vedanta Ltd (VEDL) was reviewed by the company's advisors and is calculated by dividing the net worth of VEDL's equity by its total number of outstanding equity shares.

Net worth also comprises reserves and surplus.

Also Read: Anil Agarwal announces plans to delist Vedanta from BSE, NSE

Vedanta Resources had in May announced its plans to voluntarily delist the equity shares of VEDL.

"As an additional disclosure, we would like to inform that the book value of VEDL's (Vedanta Ltd) equity shares as per delisting regulations (Book Value), for the year ended March 31, 2020, is Rs 89.38 per share, as extracted from the audited consolidated financial statements of VEDL," Vedanta Resources said in a statement on Wednesday.

Book value signifies the intrinsic value of the company's shares as on a particular date. So, the book value price sets an indicative floor price for the reverse book building process.

Vedanta has already received shareholders' nod for delisting of the company.

Also Read: Vedanta delisting Rs 4,000 crore dearer at market value