UK-based Cairn Energy Plc on Thursday said it will sell a maximum of 40 per cent stake in its Indian unit to mining group Vedanta Resources for $6.8 billion, according to a PTI report.

"A total of approximately 155 million Cairn India shares, representing 8.1 per cent of the share capital, have been tendered" in the open offer that closed on April 30, the company said in a statement.

Vedanta group company Sesa Goa had previously bought 10.4 per cent stake in Cairn India from Petronas International Corp of Malaysia. Together with the shares tendered in the open offer, Sesa Goa now has 18.5 per cent stake in Cairn India.

"Cairn and Vedanta have agreed that, for the purposes of the formula set out in the Share Purchase Deed entered into in August 2010; these (Petronas) shares will all be treated as if they had been acquired in the open offer," Cairn said, adding: "Accordingly, on completion of the transaction, Cairn will sell a stake in Cairn India to Vedanta equivalent to 40 per cent of the share capital, following which Cairn will hold a residual interest of 21.7 per cent of the share capital," it added.

Vedanta is paying Cairn Energy Rs 405 per share, including a Rs 50 per share non-compete fee to keep the Edinburgh-based firm out of India.

Besides $6.8 billion it is paying to Cairn Energy, Vedanta group bought 8.1 per cent shares from minority shareholders for $1.24 billion and 10.4 per cent stake from Petronas for $1.47 billion.

Sesa Goa offered Rs 355 a share to the minority stockholders, after paying Malaysia's Petronas Rs 331 a share.

Cairn had in August last year announced sale of 40 to 51 per cent stake in Cairn India to Vedanta.

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