Cairn India jumped 6.62% to Rs 178 at 14:01 IST on BSE on reports that Cairn Energy Plc may vote against the merger of Cairn India with Vedanta.
Meanwhile, the BSE Sensex was down 107.75 points, or 0.38%, to 28,397.18
On BSE, so far 10.58 lakh shares were traded in the counter, compared with an average volume of 3.11 lakh shares in the past one quarter.
Shares of the oil exploration company hit a high of Rs 184.20 and low of Rs 168.50 so far during the day. The stock had hit a 52-week high of Rs 347.50 on 22 July 2014. The stock had hit a 52-week low of Rs 156.80 yesterday, 22 July 2015.
The large-cap oil and gas exploration and production company has an equity capital of Rs 1874.85 crore. Face value per share is Rs 10.
As per reports, Cairn Energy Plc had objections related to the valuations of Cairn India used to reach the proposed swap ratio and the unnecessary exposure to a diversified minerals and metals company. Cairn Energy has also raised concerns regarding the Rs 16647 crore cash reserves of Cairn India which might be used by Vedanta to part-retire the latter's Rs 37000 crore debt, reports added.
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Vedanta and Cairn India had on 14 June 2015 announced that Cairn India will be merged with Vedanta. As per the merger scheme, minority shareholders of Cairn India will receive one equity share of Vedanta for each share held in the company. The minority shareholders of Cairn India will additionally get one 7.5% redeemable preference share (RPS) of Vedanta of a face value of Rs 10 each for each share held in the company. No shares will be issued to Vedanta or any of its subsidiaries for their shareholding in Cairn India.
Cairn India's consolidated net profit fell 23.6% to Rs 834.98 crore on 36.2% decline in total income to Rs 3190.66 crore in Q1 June 2015 over Q1 June 2014. The result was announced after market hours on 21 July 2015.
Cairn India is a part of the Vedanta Group, a globally diversified natural resources group with wide ranging interests in aluminium, copper, zinc, lead, silver, iron ore, etc.
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