Cairn India board to consider dividend payment for 2015-16

After Hindustan Zinc Ltd, Vedanta Group's other cash-rich firm Cairn India is set to declare a dividend for 2015-16 fiscal.
In a regulatory filing to stock exchanges, Cairn India said its board of directors on April 22, 2016 will besides approving financial results of FY16, "will also consider the proposal to recommend dividend, if any, for the financial year 2015-16."
Billionaire Anil Agarwal-led Vedanta Ltd owns 59.88 per cent stake in Cairn India.
Previously, HZL, Vedanta Group's other cash-rich firm, had on March 30 declared a "special golden jubilee dividend" at the rate of 1,200 per cent -- Rs 24 per equity share of Rs 2 each for 2015-16.

Vedanta Ltd holds 64.92 per cent of HZL and was richer by Rs 6,583.57 crore from the dividend.
The dividend will help Vedanta Ltd pay off some of its debt. At the end of December quarter, it had a gross debt of Rs 80,952 crore. Of this, USD 1.2 billion loan is coming up for repayment in 2016-17.
Also, an inter-company loan of USD 1.25 billion is also due to be paid in the next few months. In July 2014, Cairn India had extended USD 1.25 billion of loan from its cash pool to Sesa Sterlite, which was later renamed Vedanta Ltd.