Market participants are closely tracking the upcoming listing of Vedanta Ltd’s demerged entities, with Vedanta Power expected to hit the stock exchanges by mid-June 2026. The demerger is part of Vedanta’s broader strategy to unlock shareholder value by creating focused, pure-play businesses across sectors such as power, aluminium, and metals.
As the listing approaches, Vedanta Power has emerged as one of the most closely watched entities, given India’s rising electricity demand and the strategic importance of the power sector.
The company recently formalised its identity shift, with the Registrar of Companies approving the change of name from Talwandi Sabo Power Limited to Vedanta Power Limited, effective June 3, 2026. The move signals its transition into an independent, sector-focused entity ahead of its stock market debut.
Vedanta Power operates as a thermal power generation company with a total capacity of 4,780 MW. It supplies electricity primarily through long-term power purchase agreements, ensuring relatively stable revenue visibility. Its operations are spread across multiple states, including Punjab, Andhra Pradesh, Chhattisgarh, and Odisha, with a diversified asset base comprising Talwandi Sabo (1,980 MW), Meenakshi Energy (1,000 MW), Sakti (600 MW operational with an additional 600 MW under development), and Jharsuguda (600 MW).
Looking ahead, the company has outlined an ambitious growth roadmap. It aims to expand its installed capacity from around 4.18 GW to nearly 12 GW by FY33, positioning itself among India’s top three private thermal power producers. This expansion is expected to be driven by both organic growth and asset turnarounds.
Financial projections indicate strong potential upside. Vedanta Power expects its revenue to grow from ₹6,022 crore in FY25 to ₹14,105 crore by FY29, representing more than double growth. EBITDA is projected to rise nearly fivefold, from ₹650 crore to ₹3,262 crore, while free cash flow is expected to turn positive, improving from negative ₹347 crore to ₹2,233 crore over the same period.
Industry experts note that the timing of the listing aligns well with structural growth in India’s power demand. Factors such as rising temperatures, industrial expansion, data centre growth, urbanisation, and increased household electrification are driving sustained electricity consumption.
However, analysts caution that the power sector remains capital-intensive and highly regulated. Harshal Dasani of INVasset PMS emphasized that investors should focus on operational metrics such as plant utilisation, fuel security, debt levels, and cash flow stability rather than relying solely on sectoral optimism.
Valuation estimates for Vedanta Power vary across institutions. Investec has pegged the stock at around ₹29 per share, while CLSA has assigned a higher valuation of ₹35 per share. These estimates provide an early benchmark, though actual market pricing will depend on investor sentiment and post-listing performance.
As Vedanta Power prepares to debut on the bourses, its ability to deliver consistent operations, manage leverage, and capitalise on India’s growing energy demand will be key factors determining its long-term market positioning.
*Disclaimer: This article is for informational purposes only and should not be considered investment advice. Readers are advised to consult a financial advisor before making investment decisions.
