Sterlite Industries (India) Limited Revised Offer to Purchase Operating Assets of ASARCO LLCadmin
Thursday, August 20th 2009
Sterlite Industries (India) Limited, a subsidiary of Vedanta Resources plc, the London-based FTSE 100 metal and mining group, announced today that it is increasing its offer, for the purchase of substantially all of the operating assets of ASARCO LLC, by approximately US$ 500 million, and has proposed to support a plan of reorganisation that is intended to pay creditors in full their allowed amount of claims and full post petition interest.
With this improvement, the revised total consideration will increase to Cash at closing of approximately US$ 2.1 billion.
While there is an increase in the cash consideration, Sterlite will receive an approximately 72.5% interest in the Litigation Trust to be setup by the Debtor in Possession (Asarco LLC) at Closing of the transaction to pursue a judgement against Americas Mining Corporation awarded by the US District Court of Texas, Brownsville Division.
The 9 year Copper Price Participation Note of US$ 207.9 million and the Put Option granted to the Asbestos Creditors against their share of 27% litigation interest remain unchanged.
All the other terms and conditions of the agreement remain unchanged.