Reuters first to report no counter bid by Indian firms for Cairn India, shares move

Reuters broke the news on Aug. 25 that Indian state-run firms will not make a counter bid against Vedanta Resources’ $9.6 billion bid to acquire majority stake in Cairn India. New Delhi’s Nidhi Verma tapped a senior official in Indian oil ministry who revealed that, contrary to some reports, India’s ONGC, Oil India, and GAIL will not make bid to acquire a majority stake in Cairn India, due to valuation concerns. Soon after Reuters`s snaps hit wire, Cairn India’s shares extended their fall to 3 percent, which were previously rising on rumour of counter bid, while ONGC shares extended their rise to 1 percent. In London markets Vedanta shares fell 2.3 percent while Cairn Energy’s shares rose 0.9 percent. Local news agency PTI filed the story four hours later. Bloomberg sent a link of Reuters’ story to its clients while Dow Jones did a pick up of PTI story.