Published: Tue, March 13, 2018
Business | By Max Garcia

Tata Sons sells TCS shares worth Rs9,000 crore to pare debt

Tata Sons sells TCS shares worth Rs9,000 crore to pare debt

Mumbai: Tata Sons Ltd on Tuesday sold shares worth almost Rs9,000 crore in IT major Tata Consultancy Services Ltd, according to NSE data. The company, on Tuesday, sold about 31.3 million shares, after originally offering 28.3 million shares to investors, said a Bloomberg report.

Shares in Tata Consultancy Services fell 5.4 percent. They were down 5.1%, headed for the biggest one-day decline in more than three years, at 1:13 Mumbai.

Tata Sons is looking to sell around 2.83 crore shares amounting to about 1.48 per cent stake in TCS and the transaction is likely to be happen this week, reported news agency PTI citing investment banking sources. Last year, Tata had sold off the Tata Teleservices Ltd.'s mobile-phone operations to Bharti Airtel raise funds for creditors as well. A part of the proceeds will be used to raise its holdings in some listed units, the report added. Last year, it boosted its stake in Tata Motors Ltd., the owner of Jaguar Land Rover. Citigroup Inc. and Morgan Stanley are the bankers to the sale. The plan is to reduce the considerable debt obligations in the wireless telecom units - Tata Teleservices and Tata Teleservices (Maharashtra) - and to spruce up equity interests in key Tata group companies.

Consumer price index (CPI) or retail inflation eased to 4.44 per cent in the month of February 2018, from 5.05 per cent in January 2018, slightly in line with analysts expectations.

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