January 27, 2011

Sesa Industries Limited Important Update From Satyakam Mishra

Sesa Industries - Update

The Sesa Goa Board has extended the validity of the scheme of amalgamation of Sesa Industries Limited with Sesa Goa Limited up to 31 July 2011 or the date of order of the Supreme Court, whichever is later.

Just to update the readers of the blog your ONE share of Sesa Industries in paper form is equal to FOUR shares of Sesa Goa which is listed entity.

Its rather frustrating the issues have not been resolved yet.

I anticipate 6 months delay again. According to my sources, I do not anticipate the merger soon.

NB: The purpose of this update is for general information only, and should not be interpreted as financial or professional advice.

Satyakam Mishra

1 comment:


VEDANTA RESOURCES PLC's As per the plan, the Sterlite Industries will merge into SESA GOA, which will be form as combined entity named to be SESA STERLITE. Sterlite shares will be given 3 Shares of SESA GOA for every 5 Shares of Sterlite held.Post consolidation VEDANTA will own 58.3 % stake in SESA STERLITE with VEDANTA PLC’s debt service liability will reduce by 61 % from $9.65 billion (Rs.48,250 Cr) to $3.8 billion (Rs.19,000 Cr). Post consolidation SESA STERLITE will have market capitalization of $20 billion (Rs. 1 lakhs crore) and will join the elite league of resources firms like BHP Billiton, Vale and Rio Tinto. Post consolidation the new entity SESA STERLITE will have debt of $7.38 billion (Rs.36,936 Cr) with 8 % of interest cost. http://www.bhavikkshah.blogspot.in/2012/02/vedenta-restucturing-sterlite-sesagoa.html