M&M to sell entire stake in TVS Automobile Solutions for Rs 45 cr

31 May 2022 , 08:57 AM

M&M on Monday (30 May) announced that it will sell all of its 2.76% stake in TASL. Consideration received from such sale/disposal would be Rs 45 crore, M&M added. Currently, M&M holds 3,32,195 equity shares of Rs 10 each and 100 compulsorily convertible preference shares of Rs 10 each in TASL. The automaker said, DRSR Advisory Services LLP (DRSR) has pursuant to exercise of a Call Option available to DRSR under the Option Agreement, served a Call Notice requiring the Company to sell 3,32,195 Equity Shares of Rs. 10 each and 100 Compulsorily Convertible Preference Shares of Rs. 10 each held by the Company in TVS Automobile Solutions Private Limited (TASL) constituting 2.76% of the Paid-up Capital of TASL on a fully diluted basis. The sale is expected to be completed by 22 June 2022. Following the sale, M&Ms holding in TASL will become NIL. The consolidated revenue from operations of TASL for the year ended 31 March 2021 is Rs 1,143.75 crore. The consolidated net worth (including minority interest) of TASL for the year ended 31 March 2021 is Rs 324.62 crore. M&M Group enjoys a leadership position in farm equipment, utility vehicles, information technology and financial services in India. It is the worlds largest tractor company by volume. It has a strong presence in renewable energy, agriculture, logistics, hospitality and real estate. M&M reported a 427% jump in standalone net profit before exceptional items to Rs 1,292 crore in Q4 FY22 as compared with Rs 245 crore in Q4 FY21. Revenue rose by 28% year on year to Rs 17,124 crore during the quarter ended 31 March 2022. Profit before tax surged 147.8% to Rs 1,572 crore during the period under review. Shares of M&M rose 4.69% to Rs 997.90, rising about 8% in three trading sessions. It hit a record high of Rs 1011.45 today. Powered by Capital Market – Live News