Tata Consumer Products Limited to raise funds through rights issue

The Board of Directors of Tata Consumer Products Limited at its meeting held today, i.e., Friday, January 19, 2024, has considered and approved the proposal for raising of funds through the issuance and allotment of Commercial Papers, for an amount not exceeding Rs. 3,500 crores, to be utilized for bridge funding to facilitate the payment of consideration for proposed acquisition of stakes in Capital Foods Private Limited and Organic India Private Limited.

The board also approved raising of fund by way of issue of equity shares of the Company of face value Re. 1 each through Rights Issue for an amount not exceeding Rs. 3,000 crores to the eligible equity shareholders of the Company as on the record date (to be determined by the 'Capital Raising Committee' of the Board in due course) subject to receipt of statutory / regulatory approvals, as may be applicable in accordance with the Securities and Exchange Board of India (Issue of Capital and Disclosures Requirements) Regulations, 2018 and other applicable laws.

For the purposes of giving effect to the rights issue, the detailed terms to the rights issue including but not limited to issue price, rights entitlement ratio, record date, timing and terms of payment will be determined in due course by the Board, or the 'Capital Raising Committee' constituted by the Board, in accordance with applicable laws, subject to receipt of necessary approvals, as may be required.

Shares of TATA CONSUMER PRODUCTS LIMITED was last trading in BSE at Rs. 1147.05 as compared to the previous close of Rs. 1138.05. The total number of shares traded during the day was 39303 in over 2513 trades.

The stock hit an intraday high of Rs. 1149.20 and intraday low of 1122.30. The net turnover during the day was Rs. 44729035.00.

Source : Equity Bulls

Keywords

TATACONSUMERPRODUCTS INE192A01025 FundRaising Acquisition RightsIssue