Tata Chemicals on Wednesday said its promoter Tata Sons will increase the stake in the company to 25.26 per cent by acquiring shares aggregating to 1.08 per cent stake from other group firms. At present, Tata Sons holds 24.18 per cent stake in Tata Chemicals, the company said in a regulatory filing.
As part of "restructuring of investment portfolio", the company said Tata Sons will acquire 7,05,522 shares from Tata Consumer Products (formerly Tata Global Beverages Ltd) and 1.6 lakh shares from Tata Coffee.
Similarly, Tata Sons will also acquire 13,69,290 shares of Tata Chemicals from Ewart Investments Ltd and 5.18 lakh shares from Simto Investments Co Ltd.
The total shares to be acquired amounts to 1.08 per cent of voting rights of Tata Chemicals, it added.
The proposed acquisition will be carried out at prevailing market price on the date of proposed acquisition, it said, adding the the average weighted market price for 60-day trading period before the intimation of acquisition is Rs 693.26 per share.
As per the regulatory filing, Tata Sons has confirmed that the acquisition price would not be higher by more than 25 per cent of Rs 693.26 per share.
In a separate regulatory filing, Tata Coffee said the transaction is expected to be executed on or after February 18, 2020 at or around the prevailing price on the date of proposed sale.
Tata Consumer Products, in another filing, said "funds received from this sale will be used for investment in the strategic growth areas in consumer beverages and foods businesses of the company".
Tata Sons is the principal investment holding company and promoter of Tata companies.
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