New Delhi: Sterlite Industries on Thursday said its shareholders will meet on June 21 to consider the proposed merger of Sterlite Industries and other group firms as announced by its parent firm Vedanta Resources in February.

"A meeting of the equity shareholders of Sterlite Industries ... Will be held on June 21, 2012, for the purpose of considering, the proposed arrangement embodied in the scheme of amalgamation and arrangement amongst Sterlite Industries, Madras Aluminium, Sterlite Energy, Vedanta Aluminium and Sesa Goa," Sterlite said in a BSE filing.

The meeting has been convened following a direction by Madras High Court on April 26, it added.

The merger, which will lead to creation of a new entity - Sesa Sterlite, is aimed at simplifying the group structure of London-listed Vedanta group and would create seventh largest natural resources company of the world (in terms of EBITDA).

According to the restructuring plan, Sesa Sterlite will become the holding company of Vedanta's all group firms, except Konkola Copper Mines. Post merger, Vedanta will hold 58.3 per cent stake in Sesa Sterlite.

Also, Cairn India, Hindustan Zinc, Balco, Vedanta Aluminium, Madras Aluminium, Talwandi Sabo Power and Australian Copper Mines will become subsidiaries of Sesa Sterlite.

As per the scheme of arrangements, Sterlite shareholders will get three shares of Sesa Goa for every five shares held according to the swap ratio.

Shares of Sesa Goa closed at Rs 186.20 on the BSE, down 0.13 per cent from the previous close, while shares of Sterlite Industries closed at Rs 98.60, down 0.05 per cent from the previous close.

(Agencies)

Latest News from Business News Desk