Vedanta, formerly Sesa Sterlite, has acquired 4.98% stake in Cairn India for $315 million from a wholly-owned subsidiary Twinstar Mauritius Holdings (TSMHL). The funds received by TSMHL will be used to service existing debt obligations at TSMHL.
TSMHL had 39.41% stake in Cairn India at March 31, 2015, while Vedanta’s stake was 18.73%. Following the share transfer, Vedanta will continue to hold 59.9% stake in Cairn India of which 25.5% will be held directly and 34.4% held indirectly through TSMHL.
Vedanta is one of the world’s largest diversified natural resource companies. Its business primarily involves exploring, extracting and processing minerals and oil & gas.
