Statement re Cairn India Ltd
Cairn Energy PLC
17 March 2008
FOR IMMEDIATE RELEASE 17 March 2008
CAIRN ENERGY PLC
Cairn India arranges $625 million private placement
The attached release was issued today by Cairn India Limited ('Cairn India') to
the Bombay Stock Exchange and the National Stock Exchange of India.
At the time of the IPO of Cairn India in December 2006, Cairn retained a 69%
holding in Cairn India. As a result of the private placement by Cairn India of
approximately Rupees (Rs) 25,346 million ($625 million) with Petronas and Orient
Global Tamarind Fund Pte Limited, the holding will reduce from 69% to 65%. The
proposed private placement by Cairn India requires shareholder approval which
will be sought at a meeting to be held on 16 April 2008; Cairn intends to vote
in favour of the proposal.
Enquiries to:
Cairn Energy PLC
Sir Bill Gammell, Chief Executive
Jann Brown, Finance Director Tel: 0131 475 3000
Brunswick Group LLP: Tel: 0207 404 5959
Patrick Handley, Mark Antelme,
Notes to Editors:
O Cairn Energy PLC ('Cairn') is an Edinburgh-based oil and gas exploration
and production company listed on the London Stock Exchange.
O 'Cairn' where referred to in this release means Cairn Energy PLC and/or
its subsidiaries (including Cairn India and Capricorn), as appropriate.
O 'Cairn India' where referred to in the release means Cairn India Limited
and/or its subsidiaries, as appropriate.
O Cairn intends to announce its Preliminary results for the year to 31
December 2007 on Monday, 31 March 2008.
___
For immediate release March 17 2008
CAIRN INDIA LIMITED
Cairn India arranges US$625mm private placement
Cairn India has arranged a private placement of approximately Indian Rupees (Rs)
25,346 million / $ 625 million after entering an agreement with Petronas and
Orient Global Tamarind Fund Pte Limited further to which the investors have
agreed to purchase a total of 113 million shares of Cairn India at Rs 224.30 per
share.
The net proceeds of the private placement will be used to fund capital
expenditure and for general corporate purposes.
The Board of Directors of Cairn India Limited (CIL) at its meeting held on
Monday, March 17, 2008 has approved the placement through a preferential issue
of:
O 63,300,000 Equity shares of Rs. 10 each fully paid up equity shares of
the Company at a price of Rs. 224.30 per share to Petronas
O 49,700,000 Equity shares of Rs. 10 each fully paid up equity shares of
the Company at a price of Rs. 224.30 per share to Orient Global Tamarind
Fund Pte Limited
These shares will be locked in for a period of one year from the date of
allotment. Following the private placement, Petronas will own
approximately12.7%, of the equity share capital of CIL as enlarged by the
private placement and Orient Global Tamarind Fund Pte Limited will own
approximately 2.6% of the enlarged equity share capital of CIL.
The above mentioned proposed preferential issue is being made in accordance with
Section 81 (1A) of the Companies Act 1956 and Chapter XIII of the SEBI
(Disclosure and Investor Protection) Guidelines, 2000 and is subject to approval
of the shareholders and applicable regulatory approvals. A meeting of the equity
shareholders of the Company is proposed to be convened on April 16 2008 for
obtaining their approval to the aforesaid proposal.
The issue price represents a 0.46% premium to the average closing price on the
National Stock Exchange of the last two trading days prior to the announcement.
Rahul Dhir Chief Executive officer of Cairn India said:
'Cairn India is entering an exciting period of growth. The company is confident
of producing first commercial oil from Rajasthan in 2009. The private placement
will help the Company towards meeting its investment plans and provide greater
financial and operational flexibility. We are delighted to have investors like
Petronas and Orient Global show their commitment to subscribe to Cairn India's
business.'
Enquiries to:
Analysts/Investors
Anurag Mantri, Investor Relations Manager +91 9810301321
Media
David Nisbet, Director, Corporate Communications +91 9910694336
About Cairn India Limited
O 'Cairn India' where referred to in the release means Cairn India Limited
and/or its subsidiaries, as appropriate.
O 'Cairn' where referred to in this release means Cairn Energy PLC and/or
its subsidiaries (including Cairn India), as appropriate.
O Cairn India is headquartered in Gurgaon on the outskirts of Delhi, with
operational offices in Chennai, Gujarat, Andhra Pradesh and Rajasthan.
O On 9 January 2007, Cairn successfully concluded the flotation of its
Indian business with the commencement of trading of Cairn India Limited
on the Bombay Stock Exchange and the National Stock Exchange of India.
Cairn Energy PLC currently holds a 69% shareholding in Cairn India
Limited.
O Cairn India is currently focused on exploration and production in India
where it has a working interest in 14 blocks, two of which are producing
hydrocarbons. The company holds material exploration and production
positions in west India and east India along with new exploration rights
elsewhere in India.
O This focus on India has already resulted in a significant number of oil
and gas discoveries. In particular, Cairn made a major oil discovery
(Mangala) in Rajasthan in the north west of India at the beginning of
2004. More than 20 discoveries have been made in Rajasthan block
RJ-ON-90/1.
O PETRONAS is wholly-owned by the Malaysian government and is vested with
the entire ownership and control of the petroleum resources in Malaysia
through the Petroleum Development Act 1974, an Act of Parliament.
PETRONAS is a fully-integrated oil and gas corporation and is ranked
among FORTUNE Global 500's largest corporations in the world and operates
in 33 countries. For more information, visit www.petronas.com .
O Orient Global is a Singapore-based private investment institution focused
on building sustainable prosperity through investments in financial and
social businesses. Founded by Richard Chandler, Orient Global has been a
pioneer in emerging markets investment for over twenty years during which
time it has provided capital to companies and governments from Asia and
Africa to Latin America and Eastern Europe. For more information, visit
www.orientglobal.com
O India currently imports approximately 2,000,000 barrels of oil per day
(bopd). It produces approximately 700,000 bopd itself of which
approximately 50,000 bopd comes from the Cairn India operated Ravva field
on the east coast of India
O For further information on Cairn India Limited see www.cairnindia.com
This information is provided by RNS
The company news service from the London Stock Exchange
Latest directors dealings
- 8 hours ago Johnson Matthey
- 9 hours ago Galliford Try
- 9 hours ago Galliford Try
- 9 hours ago Centrica
- 10 hours ago Smith & Nephew