Hindustan Zinc declares Rs 19 per share dividend, Vedanta to get Rs 5,212 crore bounty

The board of Hindustan Zinc Ltd on Tuesday approved the second interim dividend of Rs 19 per equity share, which is 950 per cent on face value of Rs 2 per share each, for the financial year 2024-25, amounting to Rs 8,028.11 crore.

The record date for the purpose of payment of dividend will be Wednesday, August 28. The interim dividend would be duly paid within the stipulated timelines as prescribed under law, Hindustan Zinc said in an exchange filing.

Hindustan Zinc's promoter Vedanta, which owned 2,74,31,54,310 shares or 64.92 per cent stake, in Hindustan Zinc, as on June 30, would receive Rs 5,212 crore in dividend payments.

Shares of Hindustan Zinc were trading 3.29 per cent higher at Rs 512.05 on BSE. Vedanta, which sold stake in the company via offer for sale (OFS) this week, was up 1.07 per cent at Rs 447.30.

"The Board of Directors of Hindustan Zinc Limited (“the Company”), at its meeting held today i.e. Tuesday, August 20, 2024, has considered and approved the Second Interim Dividend of Rs. 19/- per equity share i.e. 950% on face value of Rs. 2/- per equity share for the Financial Year 2024-25 amounting to Rs. 8028.11 Crores," Hindustan Zinc said.

Earlier this week, Vedanta Ltd raised around Rs 3,200 crore from its OFS of subsidiary Hindustan Zinc Ltd. Vedanta is seen utilising the proceeds generated from the OFS for deleveraging its balance sheet and investment in its growth projects. This, coupled with the Rs 8,500 crore qualified institutional placement, is seen helping it bring down its debt.