Vadinar Oil acquires 67.22% stake in Essar Oil

MUMBAI: Essar Oil Ltd said on Satarday that one of its promoter group company has acquired 67.22 per cent of stake in the company through purchase of 47.61 lakh Global Depository Shares (GDS).

The GDS represent 72.84 crore underlying equity shares, which were with the company's depository, Bank of New York and now have been purchased by Vadinar Oil, Essar Oil informed the Bombay Stock Exchange.

As part of the corporate debt restructuring scheme Foreign Currency Convertible Bonds (FCCBs) were issued by the company in January and April 2005 and these FCCBs were subsequently converted into GDSs between March and June 2005, it said.

The principal activities of Essar Oil Ltd are to explore, produce and refine oil and gas and the group has operations in India and the Middle East, while Vadinar Oil is a foreign incorporated entity forming part of the promoter group companies of Essar Oil.

The shares of Essar Oil had closed at Rs 48.70, 4.51 per cent on Friday at the BSE.