Cairn India and Vedanta Ltd — the oil and mining majors owned by Anil Agarwal — will soon be one entity. After nearly a year of trying to convince stakeholders to agree to the merger of the two companies, shareholders of Cairn India approved the move in a court-convened meeting in Mumbai on Monday.
Shareholders who held 92.86 per cent by value of the company’s stock voted in favour of the merger.
The dealOnce the merger is complete, every share in Cairn India will be exchanged for one common equity share and four redeemable preference shares of ₹10 (with 7.5 per cent annual interest) of Vedanta Ltd.
Vedanta’s shareholders had approved the share-swap scheme last week.