Tata Steel Converts $565-Million Debt In Arm Into Equity
The company converted the debt into over 359 crore fully paid-up equity shares of face value $0.157 each.
Tata Steel Ltd. converted debt instruments aggregating to $564 million, or around Rs 4,713 crore, held by the company in subsidiary T Steel Holdings Pte. into equity.
The company converted the debt into over 359 crore fully paid-up equity shares of face value $0.157 each. Post this conversion, TSHP will continue to be a wholly owned subsidiary of the company, according to an exchange filing.
Meanwhile, Tata Steel announced on Friday that it's compelled to take legal steps to contest the legitimacy of a steelworkers' union strike vote. The company also cautioned that its blast furnaces at Port Talbot in the UK might need to halt operations due to the ongoing industrial action.
Initially, the Mumbai-based steelmaker had scheduled the closure of one blast furnace by June-end and the second one by September. Yet, the potential strike by Unite the Union on July 8 could accelerate the shutdown process.
Shares of Tata Steel closed flat at Rs 174 apiece on Friday, as compared with a 0.27% decline in the benchmark BSE Sensex.
