MUMBAI, Oct. 21 -- Shares of Vedanta gained as much as 5.2% on Wednesday as investors cheered dividend payout of Rs.21.30 per share by its subsidiary Hindustan Zinc.

At 10:50 am, shares of Vedanta were 4% higher at Rs.102.75. On the other hand, Hindustan Zinc stock was 3% higher at Rs.229.60, while the benchmark index, Sensex gained 0.87% to 40898.

Post its September quarter results, Hindustan Zinc declared interim dividend of Rs.21.30 , amounting to Rs.9000 crore. Major part of the dividend will go to Vedanta Limited which holds 64.92% in the company.

Latest shareholding data showed that billionaire Anil Agarwal-led Vedanta held 274.31 crore shares, or 64.92%, stake in the company as of 30 September which amounts to Rs.5,843 crore.