07 Jan 2021
Further re Return of Cash and Share Consolidation
On 17 December 2020 Cairn announced details of a proposed special dividend of 32 pence per eligible ordinary share, amounting to a return of approximately US$250m to shareholders and a consolidation of Cairn's ordinary share capital.
The consolidation ratio for the Share Consolidation will be 11 New Ordinary Shares for every 13 Existing Ordinary Shares held at the Record Time. The nominal value of the New Ordinary Shares will be 21/13 pence per New Ordinary Share.
The Share Consolidation will reduce the number of Cairn's issued ordinary shares by an amount that reflects the value of the Return of Cash to Shareholders relative to the market capitalisation of Cairn prior to the Return of Cash. The aim of this is to ensure, so far as possible, the market price of an ordinary share remains approximately the same before and after the Proposed Return of Cash and to maintain comparability of historical and future per share data. The Share Consolidation will reduce the number of ordinary shares in Cairn which shareholders own, but not the proportion (subject to allowance for fractional entitlements).
Key dates
| General Meeting | 9.00 a.m. on 8 January 2021 |
| Latest time and date for dealings in Existing Ordinary Shares | 4.30 p.m. on 8 January 2021 |
| Record Time for entitlement to the Special Dividend and to determine the Existing Ordinary Shares subject to the Share Consolidation (Existing Ordinary Share register closed and Existing Ordinary Shares disabled in CREST) | 6.00 p.m. on 8 January 2021 |
| Listing of the New Ordinary Shares (marked ex-entitlement to Special Dividend) | 8.00 a.m. on 11 January 2021 |
| Dealings in the New Ordinary Shares commence and enablement in CREST in respect of uncertificated New Ordinary Shares | 8.00 a.m. on 11 January 2021 |
| CREST accounts to be credited with New Ordinary Shares | On or soon after 8.00 a.m. on 11 January 2021 |
| Despatch of share certificates in respect of certificated New Ordinary Shares | 25 January 2021 |
| Payment of Special Dividend to Eligible Shareholders | 25 January 2021 |
Notes to Editors
Unless otherwise stated, defined terms set out in this announcement have the same meaning as in the Circular posted to Shareholders dated 17 December 2020.
Enquiries
Analysts/Investors
David Nisbet, Corporate Affairs
Tel: 0131 475 3000
Media
Linda Bain, Corporate Affairs
Tel: 0131 475 3000
Patrick Handley/David Litterick, Brunswick Group LLP
Tel: 0207 404 5959
About Cairn Energy PLC
Cairn is one of Europe's leading independent oil and gas exploration and development companies and has been listed on the London Stock Exchange for 30 years. Cairn has explored, discovered, developed and produced oil and gas in a variety of locations throughout the world as an operator and partner in all stages of the oil and gas lifecycle.
Cairn's exploration activities have a geographical focus in the North Sea, West Africa and Latin America, underpinned by interests in production in the UK North Sea. Cairn has its headquarters in Edinburgh, Scotland, supported by operational offices in London and Mexico.
For further information on Cairn please see: www.cairnenergy.com