Cairn Energy Will Sell Stocks to Vedanta

Cairn Energy Will Sell Stocks to VedantaCairn Energy Plc has talked to Vedanta Resource Plc to finalize deal regarding stock/share trading issues.

Representatives of both companies met to discuss further. Cairn is ready to hand over the ownership right of shares to Vedanta Group for $8.48 billion. The legal shareholders in Cairn have fully supported the transfer of the shares to Vedanta, an Indian company with headquarter in London.

However, Vedanta is not fully confident of finalizing the contract as it is awaiting the approval of the deal by Indian government. The fact is that Cairn will sell more or less 45% of the holdings to Vedanta to raise capital.

In an official brief, the spokesperson on behalf of Vedanta has told reporters that his company has now sidelined the transaction related issue as they are waiting for the green signal from the higher authority of Indian government.

On the other hand, the Petroleum Secretary, S Sundareshan has called a meeting/conference for monitoring the share trading issue. He will keep the track of the whole MOU program between two companies to complete the whole contract successfully. However, government is still busy of examining pros and cons of such billion dollars worth contract.