Essar Seeks Delisting from Indian Exchanges

Essar Energy Holdings Limited (EEHL), a Mauritius-based subsidiary of Essar Global Limited and the largest shareholder and promoter of Essar Oil Limited, has sought delisting of Essar Oil Limited from The Bombay Stock Exchange, National Stock Exchange and Calcutta Exchange Association.

EEHL and the promoter group currently holds approximately 88% in Essar Oil Limited. EEHL has requested the Board of Essar Oil Limited to obtain consent of the equity shareholders of the Company for the proposed delisting of the shares in accordance with the SEBI (Delisting of Securities) Guidelines, 2003 and include EEHL's intention to de-list the Company in the notice to be sent out to the shareholders of the Company.

Essar Oil Limited will take up the matter in its Board Meeting to be held on January 30, 2007.

The delisting of equity shares of the Company will offer more flexibility in the operations and management of the company, greater efficiencies and at the same time provide an exit opportunity for the shareholders of the Essar Oil Limited.

EEHL intends to de-list the equity shares of the Company from the Bombay Stock Exchange, National Stock Exchange and Calcutta Stock Exchange Association by following the voluntary delisting method. After obtaining the consent of the shareholders, a public announcement will be made in accordance with the SEBI (Delisting of Securities) Guidelines, 2003 for ascertaining the exit price to be paid to the shareholders of the Company.

Essar Global Limited's infrastructure portfolio comprises investments in:

  • Essar Steel Holdings Limited: The largest integrated producer of steel in Western India, with a capacity of 4.6 million tonnes per annum, with plans to set up manufacturing facilities in Qatar, Sharjah and Trinidad.
  • Essar Energy Holdings Limited: A leading integrated oil major involved in Exploration & Production, Refining and Retailing of petroleum products.
  • Essar Power Holdings Limited: Power generation capacity close to 1000 MW with plans to increase capacity to 4000 MW and enter transmission and distribution
  • Essar Shipping and Logistics Limited: Leading sea logistics solutions provider involved in sea transportation, ports and terminalling activities and oil field drilling services.
  • Essar Communications Limited: Investment portfolio comprises of investments in Hutchison Essar, which provides cellular services in association with Hutchison Whampoa, Hong Kong. Business areas cover Telecom retail, telecom infrastructure and IT and BPO services.
  • Essar Projects FZE: Investment portfolio comprises investment in Essar Constructions - one of India's foremost engineering, procurement and construction specialists.