Tata Power Company Ltd announces rights issue at Rs. 60 in the ratio of 7:50

The Committee of Board of Directors of Tata Power Company Ltd for Rights Issue, at its meeting held on March 08, 2014 has decided on the terms for the Rights Issue, which is proposed to open on or prior to March 31, 2014.

The Rights Issue Size has been fixed as 33,22,30,130 Equity Shares with a face value of Rs. 1/- each ("Rights Equity Shares").

The Rights Entitlement Ratio is fixed as 7:50, i.e. an Eligible Equity Shareholder will be entitled to apply for 7 Rights Equity Shares for every 50 Equity Shares held by such Eligible Equity Shareholder as on the Record Date.

The Rights Issue Price is fixed as Rs. 60/- per Rights Equity Share. The entire Rights Issue Price, i.e. Rs. 60/-, shall be payable on application, of which Rs. 1 shall be applied towards the face value of each Rights Equity Share and Rs. 59/- shall be applied towards the share premium.

The issue opening date for the Rights Issue shall be no later than March 31, 2014. The Rights Issue shall remain open for a minimum period of 15 days; provided that the Committee for Rights Issue in consultation with the Lead Managers may extend the period of the Rights Issue for such further period as may be deemed fit, subject however that in no event would the issue remain open for a period exceeding 30 days.

Shares of TATA POWER CO.LTD. was last trading in BSE at Rs.78.95 as compared to the previous close of Rs. 79.15. The total number of shares traded during the day was 499821 in over 3481 trades.

The stock hit an intraday high of Rs. 80.3 and intraday low of 77.8. The net turnover during the day was Rs. 39496610.

Source : Equity Bulls

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