Cairn, Vedanta receive all merger approvals barring RBI nod for redeemable preference shares issuance

Vedanta Ltd on Tuesday said it has received all merger related approvals with Cairn India except the RBI nod for issuing redeemable preference shares to the non-resident shareholders of the oil producer.

"The company has now received all the required approvals in relation to the Scheme of Arrangement between Vedanta Ltd and Cairn India Ltd, and their respective shareholders and creditors (Scheme) save and except the approval of Reserve Bank of India for issuance of Redeemable Preference shares to the non-resident shareholders of Cairn India," Vedanta Ltd said.

The Scheme will be made effective and record date for issue of the company shares pursuant to the scheme, would be set upon receipt of the RBI approval, it said.    Vedanta had said on Monday that its board will this week consider payment of interim dividend to the shareholders of Cairn India following the merger of the oil firm with itself.

"In view of the National Company Law Tribunal (NCLT) order approving the merger scheme, the board will also consider payment of said interim dividend to the shareholders of Cairn India Ltd, who will become shareholders of the company pursuant to the Scheme of Arrangement between Cairn India Ltd and the company," Vedanta Ltd said in a BSE filing.

The board will also consider interim dividend for the ongoing fiscal.

"The meeting of the Board of Directors of the Company (the 'Board') will be held on Thursday, March 30, 2017, to consider and approve the Interim Dividend, if any, for the Financial Year 2016-17," it had said.