Edinburgh based Cairn Holdings are preparing to sell almost one billion dollars worth of their current equity in Cairn India. The company are looking to raise capital to fund further exploration after their search of Greenland for oil came up fruitless, costing the company around $1bn.
It is understood that Cairn are looking to sell just over 150 million shares with a price range between 315 and 330 rupees per share. Cairn have recently looked towards Morocco in their search for gas and oil, purchasing acreage to research and examine the possibilities of oil being in the local area.
This is not the first time Cairn have used their indian counterparts as a way to raise capital, leveraging around $365m from sales of its shares earlier this year. Cairn’s stock price gained 0.4% after this news began to reach investors.
Facebook Sheds 9% on Mobile Concern
Facebook stock prices plummeted today on the back of fresh concern over its ability to generate substantial revenue from its mobile platform. As it currently stands the worlds largest social network is expected to take less than 3% of the $2.1bn US mobile advertising market for this financial year, while Google is expected to take 55% of the market and twitter 5%.
Investors clearly felt that this was not good enough and the stock price began to plummet, falling 9.1%, representing the social networks worst day in 2 months. The company’s CEO Mark Zuckerberg recently stated that he felt mobile revenue growth would be relatively rapid while speaking at Techcrunch: Disruption. He also said Facebook had made huge strides in developing their search capabilities, which sent the stock into a state of frenzy, increasing 7% over the following 24 hours.
Facebook’s IPO saw the stock price debut at $38, peaking at $45. Since then the stock has been relatively consistent in its decline and continues to hover around the $20 mark but some analysts are suggesting that may still be overvalued.