Rajasthan crude oil fields operator Cairn India on Thursday said it had sold a 2.3 per cent stake to Malaysian oil major Petronas and raised $1.6 billion through domestic and overseas channels to repay an existing debt and fund further investment needs.

The Cairn India scrip rose 3.45 per cent to Rs.289 on the news, before slipping to Rs 284.20 around 11.20 am. It had closed on Wednesday at Rs 279.35.