Shepherd and Wedderburn advises Cairn Energy on sale to Vedanta
October, 2010 - Edinburgh, Scotland
17 August
2010
Leading UK law firm Shepherd and Wedderburn is advising Cairn Energy plc on the sale of a maximum of 51 per cent of Cairn India to Vedanta Resources plc for a consideration of up to US$8,480m.
The deal will ensure Edinburgh-based Cairn Energy has the financial flexibility to pursue an active exploration programme in its leading acreage position in Greenland and future growth opportunities.
Completion is expected before the end of 2010.
Sir Bill Gammell, Chief Executive of Cairn, said:
“I am delighted to announce the proposed disposal of a significant shareholding in Cairn India in line with our objective of adding and realising value for shareholders.
The transaction will result in a substantial return of cash to shareholders.
The transaction will also ensure we have the financial flexibility to focus on an active multi year exploration and drilling programme in Greenland and also consider further material growth opportunities.”
Paul Hally, who led the team at Shepherd and Wedderburn, said: “We were delighted to act as lead legal advisers to Cairn on such a significant transaction. That this deal was able to be closed within a matter of a few weeks is testament to the close working relationship we enjoy with the first class in house legal, tax and finance teams at Cairn. This is an important deal in a key sector for us. Across Shepherd and Wedderburn’s offices we have a great deal of experience in the energy sector.”
