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Vedanta Resources (VED)

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Thursday 20 August, 2009

Vedanta Resources

ASARCO LLC - Revised offer

RNS Number : 7383X
Vedanta Resources PLC
20 August 2009
 



20 August 2009


Sterlite Industries (India) Limited

Revised Offer to Purchase Operating Assets of ASARCO LLC


Vedanta Resources plc ('Vedanta') announced that its subsidiary, Sterlite Industries (India) Limited ('Sterlite') is increasing its offer, for the purchase of substantially all of the operating assets of ASARCO LLC. Asarco had total revenues of nearly US$1.9 billion and profit before tax of US$ 393 million, for the year ended 31 December 2008. The full text of the press release issued by Sterlite is set out below.


Sterlite Industries (India) Limited

Revised Offer to Purchase Operating Assets of ASARCO LLC


Mumbai, India and Tucson, AZ: Sterlite Industries (India) Limited, a subsidiary of Vedanta Resources plc, the London-based FTSE 100 metal and mining group, announced today that it is increasing its offer, for the purchase of substantially all of the operating assets of ASARCO LLC, by approximately US$ 500 million, and has proposed to support a plan of reorganisation that is intended to pay creditors in full their allowed amount of claims and full post petition interest.


With this improvement, the revised total consideration will increase to Cash at closing of approximately US$ 2.1 billion.


While there is an increase in the cash consideration, Sterlite will receive an approximately 72.5% interest in the Litigation Trust to be setup by the Debtor in Possession (Asarco LLC) at Closing of the transaction to pursue a judgement against Americas Mining Corporation awarded by the US District Court of Texas, Brownsville Division.


The 9 year Copper Price Participation Note of US$ 207.9 million and the Put Option granted to the Asbestos Creditors against their share of 27% litigation interest remain unchanged.


All the other terms and conditions of the agreement remain unchanged.



END OF RELEASE



For further information, please contact:

 

Sumanth Cidambi

Director - Investor Relations

Vedanta Resources plc


sumanth.cidambi@vedanta.co.in

Tel: +44 20 7659 4732 / +91 22 6646 1531


Faeth Birch

Robin Walker

Finsbury



Tel:  +44 20 7251 3801


About Vedanta Resources plc

Vedanta Resources plc ('Vedanta') is a London listed FTSE 100 diversified metals and mining major. The group produces aluminium, copper, zinc, lead, iron ore and commercial energy. Vedanta has operations in India, Zambia and Australia and a strong organic growth pipeline of projects. With an empowered talent pool of 29,000 employees globally, Vedanta places strong emphasis on partnering with all its stakeholders based on the core values of

entrepreneurship, excellence, trust, inclusiveness and growth. For more information visit www.vedantaresources.com


Disclaimer

This press release contains 'forward-looking statements' - that is, statements related to future, not past, events. In this context, forward-looking statements often address our expected future business and financial performance, and often contain words such as 'expects,' 'anticipates,' 'intends,' 'plans,' 'believes,' 'seeks,' 'should' or 'will.' Forward-looking statements by their nature address matters that are, to different degrees, uncertain. For us, uncertainties arise from the behaviour of financial and metals markets including the London Metal Exchange, fluctuations in interest and or exchange rates and metal prices; from future integration of acquired businesses; and from numerous other matters of national, regional and global scale, including those of a political, economic, business, competitive or regulatory nature. These uncertainties may cause our actual future results to be materially different that those expressed in our forward-looking statements. We do not undertake to update our forward-looking statements.



This information is provided by RNS
The company news service from the London Stock Exchange
 
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