Vedanta says has satisfied all terms for Cairn India takeover

NEW DELHI: London-listed Vedanta Resources plc today said it has satisfied all conditions for acquisition of Cairn India Ltd.

Vedanta is buying 40 per cent stake of British oil firm Cairn Energy Plc in Cairn India for about $ 6 billion.

In a press statement, Vedanta said it "has now satisfied the conditions under the Sale and Purchase Agreement for the acquisition of a controlling stake in Cairn India."

"Vedanta and Cairn Energy PLC are working towards the closing of the Transaction and a further announcement will be made in due course," it added.

The transaction was announced in August last year but its conclusion has been delayed mainly due to a disagreement between Cairn India and its partner state-owned Oil and Natural Gas Corp (ONGC) over royalty payments.

Cairn Energy in a separate statement said: "As previously announced, Cairn intends to return a substantial proportion of the proceeds from the sale to shareholders. A further announcement in this respect will be made in due course."

The company said it will retain about 22 per cent shareholding in Cairn India after the Vedanta transaction.