Sesa Goa-Sterlite: Will merger sail through smoothly?

Already, the stocks of Sesa Goa and Sterlite Industries have been under pressure as there is talk that their merger proposals might face hiccups. Seas Goa shareholders are meeting on Tuesday and Sterlite's on June 21 to approve the scheme of amalgamation and arrangement amongst Sterlite Industries (India) Ltd, Madras Aluminium Company Ltd, Sterlite Energy Ltd, Vedanta Aluminium Ltd and Sesa Goa Ltd. Institutional Investor Advisory Services, an advisory firm providing participants with independent opinions, research and data on corporate governance issues, has already urged shareholders vote against the merger plans. However, another advisory firm, InGovern, advised the shareholders to vote for the merger. Amidst all, the decision of Templeton Asset Management Ltd, which has 12.2 per cent stake in Sesa Goa, would also be crucial.