Tata Steel shares traded over 1 per cent higher on the record date of its merger with Tinplate Company of India Ltd.
The record date is the cut-off date to determine the shareholders of Tinplate Company of India who shall be entitled to receive fully paid-up equity shares of Tata Steel Limited in the share exchange ratio.
At around 10:27 a.m., shares of Tata Steel traded 1.72 per cent or Rs 2.25, higher on the BSE at Rs 133.3 apiece. The market capitalisation of the company stood at Rs 1,63,922.32 crore at around the same time.
Recently, on January 8, Tinplate Company of India, through a regulatory filing, announced the record date as January 19.
"The Board of Directors of the Company (‘Board’) has taken on record the Order dated January 1, 2024, of the Hon’ble NCLT sanctioning the Scheme of Amalgamation and has, in terms of the Scheme of Amalgamation, approved Friday, January 19, 2024, as the Record Date to determine the shareholders of TCIL who shall be entitled to receive fully paid-up equity shares of Tata Steel Limited in the share exchange ratio," the Tinplate Company of India's filing read.
As per the scheme of amalgamation, the authorised share capital of Rs 426.50 crore of Tinplate Company of India stands merged with the authorised share capital of Tata Steel. Consequently, the authorised share capital of the company will be Rs 31,741.50 crore.
The merger ratio is set at 33 fully paid-up equity shares of Re 1 each for every 10 fully paid-up equity shares of Rs 10 each held by a member of the company.
Tata Steel share price: Past performance
Shares of Tata Steel have gained over 8 per cent in a year, against the Nifty 50's rise of over 19 per cent.
DISCLAIMER: The views and investment tips expressed by investment experts on zeebiz.com are their own and not those of the website or its management. zeebiz.com advises users to check with certified experts before taking any investment decisions.
Catch latest stock market updates here. For all other news related to business, politics, tech, sports and auto, visit Zeebiz.com.
