Hindustan Zinc shares fall 6% after equity worth ₹3,323 crore changes hands

Shares of Hindustan Zinc Ltd. declined 6% in early trade on Wednesday, June 18, after 7.2 crore shares or 1.71% of its equity worth ₹3323 crore changed hands at ₹460 per share in block deals.

On Tuesday, June 17, sources told CNBC-TV18 that Vedanta was likely to sell 66.7 million shares, or 1.6% of equity, worth ₹3,018.2 crore in Hindustan Zinc.

The floor price for the block deal was been set at ₹452.5 per share, sources added, which was a discount of 7.5% to Tuesday's closing price.

DAM Capital Advisors is the book-running lead manager for the transaction, sources said.

At the end of the March quarter, Vedanta held 63.42% stake in Hindustan Zinc, as per data available on the exchanges. The Government held over 25% stake, while the rest was held by LIC and FPIs, leaving very little public float. Small retail shareholders, or those with authorised share capital of up to ₹2 lakh, had only 2.5% stake in Hindustan Zinc at the end of the March quarter.

On Tuesday

, Hindustan Zinc's board approved the initial plans to double the capacity of its zinc, lead and silver production.

For this 2x growth plan, the company approved expanding its integrated refined metal capacity by 250 ktpa with corresponding increases in mines and mills capacity.

The project is to be completed within 36 months with an estimated overall cost of around ₹12,000 crore.

Meanwhile, June 17 was also the record date for Hindustan Zinc's first interim dividend of ₹10 per equity share i.e. 500% on face value of ₹2 per equity share for the financial year 2025-26.

Vedanta would get ₹2,679 crore as dividend from Hindustan Zinc on the back of its 63.42% stake.

Shares of Hindustan Zinc were down 6% lower at ₹456.7 apiece at 9.20 am on Wednesday, June 18. Meanwhile, Vedanta shares were up 0.77% at ₹462.5 apiece at the same time.

Also Read: Vedanta Dividend today: Board meet to consider first interim payout for FY26