HomeLatest NewsTata Group approves merger of 7 metal companies with Tata Steel

Tata Group approves merger of 7 metal companies with Tata Steel

ANI | | Posted by Nisha Anand

Tata Steel’s board has approved the merger of seven subsidiaries with itself, the steelmaker said in a regulatory filing to the stock exchange on Friday.

This approval was given in the meeting of the board members on Thursday.

The seven companies are Tata Steel Long Products, The Tinplate Company of India, Tata Metallics, TRF, The Indian Steel and Wire Products, Tata Steel Mining and S&T Mining Company, the same filing said.

Each scheme was reviewed and recommended to the board by the committee of independent directors and the audit committee of the company, it added.

“Each Scheme is subject to the approval of (a) the transferor company concerned and the requisite majority of the shareholders of the transferor company; (b) the Competent Authority (as defined in each Scheme), (c) SEBI (d) the National Stock Exchange of India Limited and BSE Limited (hereinafter collectively referred to as “Stock Exchange”); and (e) such other approvals, permissions and approvals of the Regulator and other statutory or governmental authorities / quasi-judicial authorities as may be required under applicable law.”

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Shares of associated companies slump in merger plans

Shares of Tata Steel rose as subsidiaries fell as much as 9 percent on Friday after the company’s board approved the merger of seven group companies. On BSE, shares of Tata Steel were trading 1.30 percent higher 105. The scrip has reached a height 107.90 intra-day.

Of the seven Tata Group companies that will be merged with Tata Steel, four are listed. All these four companies were trading at heavy losses.

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