Vedanta's shareholders and lenders have approved the oils-to-metals conglomerate's plans to split into five separate entities, the company announced on Thursday, with nods from nearly all of its secured and unsecured creditors.

Vedanta Ltd.’s creditors and shareholders approved a long-standing plan to split the Indian mining conglomerate into five businesses, a step that will simplify the group’s structure and reduce its debt burden.

Vedanta Ltd has received a go-ahead from its shareholders and creditors for its proposed plan to demerge into five sector-specific units, each dedicated to aluminium (Vedanta Aluminium), crude oil (Vedanta Oil & Gas), power (Vedanta Power), ferrous products (Vedanta Iron and Steel) and silver and zinc (through itself, Vedanta Ltd, and HZL).

Vedanta will be split into five resulting companies - Vedanta, Vedanta Aluminium Metal, Talwandi Sabo Power Limited, Malco Energy, and Vedanta Iron and Steel

Vedanta Ltd.’s creditors will meet Tuesday to give their final verdict on a plan to split the Indian mining conglomerate into at least five different businesses, a key step in a months-long effort to simplify the group’s structure and help manage its debt burden.

Vedanta Limited approved demerger into five sector-specific companies, creating global scale businesses with focused operations and market potential.

Vedanta shares rise 1.99% after shareholders and creditors approve demerger into five entities, boosting investor confidence in restructuring and positioning the company for long-term growth.