Cairn: ONGC has until Oct to veto Vedanta

State-owned Oil and Natural Gas Corp has over a month to decide if it chooses to exercise its pre-emption or right of first refusal to block the sale of majority stake in Cairn India to Vedanta Resources.

State-owned Oil and Natural Gas Corp (ONGC) has over a month to decide if it chooses to exercise its pre-emption or right of first refusal to block the sale of majority stake in Cairn India to Vedanta Resources.

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Vedanta is paying $8.48 billion (R39,712 crore) to buy Edinburgh-based Cairn Energy's 40 to 51 per cent stake in Cairn India, which has 10 oil assets in the country, including the giant Rajasthan oilfield.

"ONGC can make a counter-offer or exercise its self-claimed pre-emption right in certain properties of Cairn India before the Extraordinary General Meeting (EGM) called by Cairn Energy Plc in early October to ratify the sale to Vedanta," a source associated with the development said.