Sterlite Industries (India) Limited: Update on BALCO Arbitrationadmin
The arbitration panel hearing the matter of the exercise by Sterlite Industries (India) Limited of its call option to purchase the 49% equity stake in Bharat Aluminium Company Limited (“BALCO”) from the Government of India delivered its decision on 25 January 2011. The three-member panel ruled 2:1 that the call option was in violation of section 111A(2) of the Indian Companies Act, 1956. The company is considering its next course of action.
Sterlite Industries (India) Limited is India’s largest diversified metals and mining company. The company produces aluminium, copper, zinc, lead, silver, and commercial energy and has operations in India, Australia and Namibia. The company has a strong organic growth pipeline of projects. The company is setting up 5,040 MW independent thermal power plants through its subsidiary Sterlite Energy Limited. Sterlite Industries is listed on the Bombay Stock Exchange and National Stock Exchange in India and the New York Stock Exchange in the United States.