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LIC-CAIRN 2 LAST (BCM30)_7965

PTI

NEW DELHI

Cairn India's annual general meeting will be held on July 21, where the shareholders will get a chance to voice their say on the merger and vote on it.

Anil Agarwal-promoted Vedanta on Sunday said it would merge its subsidiary Cairn India with itself for larger natural resources entity.

As part of the deal, each Cairn India shareholder will be offered an equity share of Vedanta, besides a 7.5 per cent redeemable preference share having a face value of Rs 10.

The deal requires 75 per cent of minority shareholders (by value) to vote in favour for the transaction to go through.

After the merger, Cairn India minority shareholders will hold 20.2 per cent stake in the merged entity, while Vedanta's minority shareholders will own 29.7 per cent.

The Cairn share price closed at Rs 182.40 on the Bombay Stock Exchange on Tuesday.

Apart from LIC, UK's Cairn Energy hold 9.82 per cent stake in Cairn India. Cairn Energy had in 2011 sold majority stake in Cairn India to Vedanta for USD 8.67 billion.

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