Business

Vedanta Delivers India’s Largest Employee Equity Grant in Manufacturing Worth ₹2,500 Crore


Written by Intern Rency Gomes ||Team Allycaral 

New Delhi, January 19, 2026: Vedanta Limited (NSE: VEDL), India’s leading metals, oil & gas, critical minerals, power and technology conglomerate, has delivered one of the largest employee equity initiatives in Indian manufacturing, creating a cumulative financial impact of nearly ₹2,500 crore through Employee Stock Option (ESOP) grants over the past five years.


The latest ESOP 2025 grant alone accounts for stock options worth over ₹500 crore, benefiting nearly 1,200 first-time recipients, including freshers. Vedanta’s ESOP programme is among the most inclusive in the country, covering nearly 40 per cent of its workforce across plants, functions and career levels.

With more than two decades of consistent ESOP administration, employee ownership has become a core part of Vedanta’s organisational culture. Notably, the programme extends equity participation to early-career professionals, with eligible freshers receiving allocations amounting to nearly 30 per cent of fixed pay over a standard three-year vesting cycle—making Vedanta one of the few Indian conglomerates to offer ESOPs at this level.

A defining feature of Vedanta’s ESOP structure is the allotment of shares at a deeply discounted price of Rs.1, among the lowest ESOP pricing in India. This approach reinforces shared ownership while minimising upfront investment for employees. With Vedanta’s share price touching all-time highs, the ESOP programme has enabled thousands of employees to achieve key life milestones such as home ownership, higher education, vehicle purchases and long-term financial security.

The ESOP 2022 vesting cycle delivered over 80 per cent appreciation in share value, generating more than ₹300 crore in wealth for employees, highlighting the strong link between organisational performance and employee rewards.

The programme reflects the vision of Vedanta Chairman Anil Agarwal to democratise wealth creation, accelerate career progression and provide equitable financial opportunities, particularly for young professionals and women. The performance-linked ESOP structure recognises sustained contributions in priority areas such as automation, digitalisation, AI-driven innovation, operational excellence and sustainability.

By extending equity ownership to engineers, plant teams and middle management—groups traditionally excluded from such rewards—Vedanta is redefining compensation practices in Indian manufacturing and reinforcing its belief that employees should directly share in the value they help create.

Business

Kotak Securities’ 2026 Market Outlook Signals Strong Equities and Shining Gold Amid Global Volatility


Written by Tanisha Cardozo || Team Allycaral Business Desk

Kotak Securities Ltd (“Kotak Neo”) has released its Market Outlook 2026, presenting a confident view of India’s financial landscape for the coming year. Despite global volatility, the firm expects Indian equities and key commodities to maintain strong momentum driven by favourable macro conditions, robust earnings expectations and rising investor participation. Shripal Shah, MD & CEO of Kotak Securities, said that India continues to stand out as a beacon of growth amid global turbulence. According to him, equity markets are well-positioned to deliver strong performance in 2026, supported by healthy corporate earnings and policy initiatives. Shah also highlighted the increasing role of young investors in shaping the future of India’s capital markets, adding that the industry must work towards making investing more inclusive and accessible.

Citing recent SEBI findings, Shah noted a significant gap between market awareness and actual participation: while 63% of households are aware of at least one market product, only 9.5% actively invest. This, he said, indicates substantial untapped potential for the Indian equity ecosystem and a major opportunity for brokerage firms to drive greater financial inclusion. The report points out that Indian equities overcame a sharp 17% drawdown from the September 2024 highs, with the Nifty 50 rebounding to a new all-time high by the end of 2025. Large-cap stocks led the recovery, while mid- and small-cap segments trailed. Sectors such as automobiles, banks and metals outperformed during the year, whereas IT and FMCG remained under pressure. Persistent foreign portfolio investor outflows were absorbed by strong domestic investor activity, further reinforcing confidence in India’s market resilience. A buoyant primary market through 2025 demonstrated sustained investor interest and optimism.

Looking ahead, Kotak Securities expects Nifty earnings to remain healthy, projecting profit growth of 17.6% for FY27 and 14.8% for FY28. Based on these expectations, the report lays out three potential scenarios for December 2026: a base case target of 29,120 assuming a 20x PE on FY28 expected EPS of ₹1,456, a bull case of 32,032 at a 22x PE, and a bear case scenario of 26,208 at an 18x multiple. On the commodities front, 2025 saw exceptional movements. Gold surged over 55%, crossing the $4,000 per ounce mark, driven by geopolitical tensions, macroeconomic uncertainty and strong central bank buying. Indian gold prices rose even more sharply—approximately 60%—due to rupee depreciation. Silver proved an even stronger performer with gains of nearly 100%, supported by safe-haven demand and persistent structural supply deficits despite industrial headwinds from tariffs. Crude oil, however, ended 2025 with a 19% decline as excess supply outweighed geopolitical concerns. Base metals like copper and aluminium remained firm, supported by tight supply conditions, electrification demand and structural constraints even as volatility persisted.

Overall, Kotak Securities’ Market Outlook 2026 emphasizes a year of opportunity for investors willing to navigate global uncertainty with a focus on India’s strong fundamentals, expanding investor base and commodity trends that continue to offer both stability and growth potential.

Business

Vedanta Shines Bright: Brokerages Predict Strong Earnings on Aluminium Boom, LME Upside


Major global and Indian brokerages remain upbeat on Vedanta Ltd.’s earnings outlook into FY26 and FY27, with analysts highlighting rising LME prices, aluminium vertical integration, INR depreciation, and new project launches as key tailwinds for the diversified natural resources company.

J.P. Morgan reported that Vedanta’s Q1 consolidated EBITDA was broadly in line with estimates, but several segments—including Aluminium, Oil & Gas, and Power—outperformed expectations, leading to a segmental EBITDA beat. “LME prices have bottomed and are expected to trend higher into FY26–27,” the firm said, noting that vertical integration in aluminium production will enhance cost competitiveness.

Citi Research echoed similar optimism, pointing to Vedanta’s parent company’s (Vedanta Resources) stable leverage, limited global aluminium supply growth, and the upcoming demerger as positive catalysts. The firm sees medium-term upside driven by favourable pricing and volume increases.

Mumbai-based Nuvama Institutional Equities expects Vedanta to post 10%+ QoQ EBITDA growth in Q2FY26, driven by improved pricing and lower aluminium production costs. “We see net debt/EBITDA (excluding Hindustan Zinc) falling to 1.7x by FY26-end from 2.7x in FY25,” Nuvama said, reaffirming its ‘BUY’ rating with a target price of ₹601. All major projects, except coal blocks, are expected to be commissioned in the current fiscal year.

UK-based Investec noted the company’s advantageous position amid a weakening Indian Rupee. Lower alumina prices and attractive yields were also highlighted as near-term positives.

Additional support came from Kotak Institutional Equities and IIFL, which emphasized cost-efficiency measures and deleveraging at both Vedanta Ltd. and Vedanta Resources.

🔹 Financial Highlights:

  • Adjusted PAT rose 13% YoY to ₹5,000 crore
  • Q1FY26 EBITDA reached ₹10,746 crore, the highest-ever first-quarter EBITDA, marking a 5% YoY growth

🔹 Strategic Developments Ahead:

  • Commissioning of aluminium expansion projects in Q2FY26
  • Expected demerger completion by Q4FY26
  • Cost reduction and vertical integration across business verticals

📊 Analyst Sentiment: Strong Buy

With positive cues from international commodity markets and a strategic focus on expansion and cost optimization, Vedanta appears well-positioned to capitalize on macro and sectoral tailwinds.