Tata Steel acquires 1.15 crore shares of TSAML for Rs14.80 crore

29 Dec 2022 , 02:07 PM

Tata Steel Limited informed that it acquired 1,15,45,667 equity shares of Rs10 each at an issue price of Rs12.81 per share (including a premium of Rs2.81 per share) of Tata Steel Advanced Materials Limited (TSAML).

TSAML was established as a wholly owned subsidiary of Tata Steel Limited on June 22, 2012. 

TSL transferred its entire stake in TSAML to Tata Steel Downstream Products Limited (TSDPL), a wholly owned subsidiary of TSL, in Q2FY2021.

TSL has entered the New Materials Business (NMB) in areas such as composites, graphene, and medical materials. TSAML (a wholly owned subsidiary of TSL) has been identified as the anchor company to pursue business opportunities in NMB in this regard, stated the company in an exchange filing on Thursday.

TSL has subscribed for 1,15,45,667 equity shares of TSAML with a face value of Rs10 each for a premium of Rs2.81 per share (total Rs12.81 per share), amounting to approximately Rs14.80 crore.

TSL will own 66.75% of TSAML after the completion of the Transaction. TSDPL, TSL’s direct wholly owned subsidiary, will hold the remaining 33.25% equity stake.

At around 1.46 PM, Tata Steel was trading at Rs110.40, up by 0.36% against the previous close of Rs110 on NSE. The counter hit an intraday high and low of Rs111.50 and Rs108.85 respectively.

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