Cairn India initial share sale oversubscribed 1.3 times (AFP)
16.12.2006 06:04 Science - Source: Yahoo Science
The initial listing price has not been publicly announced, but the Mumbai stock exchange confirmed the subscription level.
The company had hoped to raise as much as 7.5 billion dollars in the share sale that ended Friday as the first overseas majority-owned oil explorer listed on Indian exchanges.
Cairn India has sold a total of 538.47 million shares not including a possible over-allotment option. The company already sold 209.67 million of the shares in a private placement earlier this month.
After the sale, Cairn Energy will hold a 69.5-percent stake in the unit, which announced major discoveries of oil and gas in India's western desert state of Rajasthan last year.
In July, Cairn signed a one billion dollar agreement with more than a dozen banks to develop the Mangala, Aishwariya, Saraswati and Raageshwari oilfields in the Rajasthan basin, where the company estimates reserves of nearly 3.5 billion barrels of oil.
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