Vedanta gets $6bn financing for Cairn India deal

19th Nov 2010 07:06

Vedanta Resources has sorted out a $6bn financing agreement with a consortium of banks to cover part of the $8.5bn-9.6bn needed to acquire 51-60% of Cairn India.The company is buying 31%-40% and subsidiary Sesa Goa Ltd the remaining 20%.Barclays Capital, Citi, Credit Suisse, Goldman Sachs, JP Morgan, Morgan Stanley, Royal Bank of Scotland and Standard Chartered are all in on the deal.Vedanta says the financing arrangements comprise four tranches with maturities of between 18 months and three years. General syndication of part of the financing begins soon. "The financing announced today provides the group with funding flexibility," explained chairman Anil Agarwal. "A testament to the strength of the Vedanta story," he said.