Companies

Tata Sons hikes stake in group companies

Our Bureau Mumbai | Updated on August 28, 2021

The Company made significant investments in new businesses to capitalise on future growth opportunities

Tata Sons increased its shareholding in existing business units during FY21, including in Tata Communications, Tata Motors and Air Asia India, Executive Chairman, N Chandrasekaran said.

The Company made significant investments in new businesses to capitalise on future growth opportunities and increase its shareholding in existing businesses, Chandrasekaran said in the firm’s annual report for FY21.

Rise in shareholding

The shareholding in Tata Communications was increased to 58.86 per cent through Panatone Finvest, a subsidiary of the company, by way of subscription to the Offer For Sale (OFS) by the Government of India.

In Air Asia India, the shareholding was increased from 51 per cent to 83.67 per cent through purchase of additional stake from AirAsia Berhard.

Shareholding in Tata Motors was increased from 39.52 per cent to 43.73 per cent of the ordinary shares through primary issue of shares and from 5.26 per cent to 7.57 per cent of the Differential Voting Right (DVR) shares through open market purchases.

Shareholding in Tata Power was increased from 35.27 per cent to 45.21 per cent through a primary issue of shares.

Shareholding in Tata Chemicals was increased from 28.51 per cent to 31.90 per cent through open market purchases, Chandrasekaran said.

During FY21, Tata Sons also invested in new businesses across manufacturing, services and digital platform to capitalize on future value creation opportunities.

The new business investments include Tata Electronics to set up precision engineering and manufacturing operations, Tata Medical and Diagnostics to offer modern medical devices and patient centric solutions and Tata Digital to build consumer-centric digital businesses for deep consumer engagement and their needs across multiple verticals including retail, travel and financial services, Chandrasekaran added.

Published on August 28, 2021

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