Vedanta Resources PLC
06 January 2004
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN OR INTO THE UNITED STATES
6 January, 2004
Vedanta Resources plc
Acquisition of 4.98% of Sterlite Industries (India) Limited
Vedanta Resources plc is pleased to announce that it has completed the purchase
of 1.79 million shares in Sterlite Industries (India) Limited (representing
4.98% of Sterlite's existing share capital) from the Sterlite Employee Welfare
Trust at an average price of INR 1477 per share.
Vedanta's direct ownership of Sterlite increases from 55.1% to 60.1% as a result
of this transaction. Vedanta's effective interest in Sterlite has increased
from 60.8% to 65.8%. This purchase does not have a material impact on the cash
position of Vedanta under UK GAAP. The transaction further advances Vedanta's
stated strategy of releasing the value contained within the current group
This transaction has been undertaken prior to the completion of two recently
• The issue of bonus shares in the ratio of 1 new share for every 1 existing
Sterlite share; and
• A rights issue in the ratio of 3 new shares for every 10 existing shares
of the enlarged Sterlite share capital to raise at least INR 14 billion (c.
Peter Sydney-Smith, Vedanta Finance Director, says:
'We are increasing our ownership of Sterlite which will boost attributable
earnings. This purchase and the proposed rights issue demonstrate that Vedanta
is moving swiftly to implement its stated strategy of maximising the value
inherent in the existing corporate structure.'
This announcement is not an offer of securities for sale in the United States.
The securities referred to herein have not been and will not be registered under
the U.S. Securities Act of 1933, as amended (the 'Securities Act'), and may not
be offered or sold in the United States absent registration or an exemption from
registration. No public offering of the securities referred to herein will be
made in the United States.
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For further information, please contact:
Peter Sydney Smith
Vedanta Resources plc Tel: +44 207 629 6070
Financial Dynamics Tel: +44 207 831 3113
This information is provided by RNS
The company news service from the London Stock Exchange RIIS