Govt decision on Cairn-Vedanta deal likely in few weeks

Mumbai: The government is likely to take a decision on the $9.6-billion Cairn-Vedanta deal in the next few weeks and that the decision would be taken on merits, reports PTI quoting a top government official.

"There is absolutely no delay on the part of the government regarding the Cairn-Vedanta deal. We will come to a decision on this (deal) in the course of the next few weeks.

The decision will be taken on merits," oil secretary, S Sundareshan, told reporters here today.

The Anil Agarwal-promoted London-based Vedanta is acquiring a majority stake in Cairn India from Edinburgh-based Cairn Energy for a consideration of up to $9.6-billion.

Cairn India is a three-way joint venture with Cairn, domestic oil and gas major ONGC and Petronas of Malaysia.

Presently, the Edinburgh-based Cairn Energy holds a 62.37% stake in its Indian arm.

"We have told them (Cairn Energy) that we will require 8-10 weeks to examine all the issues and only then we will take the final decision," he said.

On the controversy over the payment for oil imports from Iran, Mr Sundareshan said, "The flow of oil will not stop and National Iranian Oil Company (NIOC) will continue to supply oil to the Indian oil companies and we are hopeful of a settlement very soon."

He said that a high-level delegation comprising of officials from the Reserve Bank of India, State Bank of India, the ministry of finance, ministry of petroleum and natural gas, Mangalore Refinery and Petrochemicals (MRPL) and Indian Oil Corporation had gone to Iran to discuss the issue.

"Until a final settlement is worked out, oil supplies will continue and we are hopeful of a settlement very soon," he said.

Following the increase in the prices of crude oil to $92-$93 per barrel, he said that the under-recoveries were likely to reach Rs72,000 crore by the end of this fiscal.

On divestment in ONGC and Indian Oil Corporation, Mr Sundareshan said, "The ONGC FPO (follow-on public issue) will hit the market by end-this fiscal. We plan to raise around Rs13,000-Rs14,000-crore through the divestment. However, due to fluctuations in crude oil prices, the Indian Oil FPO will take place only in the next fiscal," he said.

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SBI Funds Management appoints Deepak Chatterjee as MD

Apart from bringing in expertise of a generalist banker to SBI Mutual Fund, Deepak Chatterjee also brings with him a wide knowledge-base and understanding of capital markets

Deepak Chatterjee has been appointed as the new managing director of SBI Funds Management Pvt Ltd, investment manager for SBI Mutual Fund.

Mr Chatterjee has over 32 years of rich experience in the banking sector. In his previous assignments in the last 10 years, he has held senior positions such as EVP & head, regional office, New Delhi at SBI Capital Markets Ltd, SVP & Group head of project finance group, Mumbai at SBI Capital Markets Ltd and AGM & head of commercial branch, Nehru Place, New Delhi at SBI.

Apart from bringing in expertise of a generalist banker to SBI Mutual Fund, Mr Chatterjee also brings with him effective team management skills and a wide knowledge-base and understanding of capital markets.

His previous assignment was of his most successful stints was in the capacity of general manager (Financial Institutions Group) international business group in SBI. As a general manager he was handling fund raising for SBI outside India, country risk and bank exposures. Mr Chatterjee has immense knowledge and experience in various areas of banking such as, credit administration, investment banking, international banking operations, branch management, etc.

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Gold and silver might be headed further up

The gold and silver markets may be approaching tipping points, which could lead to an acceleration of prices.

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