To reduce its expense Vedanta will only pay Rs 355/share to minority shareholders in the open offer while offering Cairn Rs 405/share .This will include Rs 50/share for a non compete agreement.This seems a ruse to shaft minority shareholders as I don’t think Cairn poses much of a threat to Vedanta from further Oil Explorationin India.I don’t know how Vedanta’s returns from the Cairn’s oil fields can be impacted through Oil Exploration by Cairn’s parent in the future.Indian stock market regulator had earlier rejected Heidelberg’s premium to be paid to SK Birla Group when buying Mysore Cements stake.The controlling premium has been paid in earlier M&A by foreign promoters to Indian promoters.The area of controlling premium remains a grey one and I think it is being exploited by Vedanta to lower its open offer price.It remains to be seen if SEBI rules in the favor of the minority shareholders.
UN’s CDM panel which decides on the eligibility of projects under this scheme has come under criticism for being too lenient in approving projects.It has been said that these projects sometimes lead to more emissions defeating the very purpose of this scheme.The Panel has become more discerning and has rejected around 50 Wind Projects in China because they were thought to be profitable even without these credits.
Only communities adjacent to the rivers can use this water.An Environmental Group has also accused the state EPA of colluding with these corporate interests.This may lead to huge lawsuits against these companies and force the Boom to a halt.Shale Gas is supposed to be the new energy panacea as the deposits can meet US energy needs for 20 years.However like other fossil fuels it will deplete leaving behind a legacy of ecological degradation and destruction.
Poor Island Nations like Maldives are most vulnerable to Climate Change with their very existence at stake as rising sea levels threaten to sink them completely in the 21st century itself.The complete lack of progress on climate change and global warming has left these nations in a precarious state.The Alliance of Small Island Nations which [...]
Honda is betting more on the success of Hybrid Vehicles than on Electric Vehicles.It seems that the Japanese auto giant thinks that Hybrid Vehicles will get more traction in the market and is set to manufacture and sell upto 5 hybrid vehicles in the USA by 2013 .While it is also developing an Electric Vehicle,it [...]
China surpassed the USA as the largest emitter of Greenhouse Gases (GHG) in 2006 when it produced 6.2 billion tons of CO2 overtaking the USA at 5.8 billion tons.It has only increased the gap with the USA in the intervening 4 years as the Chinese economy has grown roughly at a 10% average.Now International Energy [...]