In the past month, the stock of Tata Motors DVR has outperformed the market by surging 52 per cent
Shares of Tata Motors
Differential Voting Rights (DVRs) rallied 11 per cent to Rs 62.50 on the National Stock Exchange (NSE) on Monday after its promoter Tata Sons acquired more than 5 million shares, worth Rs 30 crore, via open market on Friday.
On September 4, Tata Sons purchased 5.3 million shares, representing 1.04 per cent stake of Tata Motors
DVR, at price of Rs 56.02 per share on the NSE via bulk deal, the exchange data shows. The names of the sellers were not ascertained immediately.
As of June 30, 2020, Tata Sons held 5.26 per cent stake in Tata Motors
DVR, the shareholding pattern data shows.
In the past month, the stock of Tata Motors DVR
has outperformed the market by surging 52 per cent, as compared to 1.5 per cent rise in the Nifty 50 index.
At 09:30 am, the stock was trading 7 per cent higher at Rs 60.30, against 0.15 per cent decline in the benchmark index. A combined 10.6 million shares were changing hands on the counter on the NSE and BSE, so far.
Meanwhile, shares of Tata Motors were up 1 per cent at Rs 149, after hitting high of Rs 152 on the NSE in intra-day trade today.
Tata Motors chairman N Chandrasekaran, at company’s 75th Annual General Meeting (AGM) on August 25, said that the company is eyeing "near-zero" debt in the next three years as it looks to significantly deleverage its business, reduce expenses and put the leash on non-core investments.
“Currently the TML group has a net automotive debt of Rs48000 crore and currently we are deleveraging this business substantially. The target is to bring it to near zero debt levels in the next three years. Towards this the company has already taken steps. This includes making the company free cash flow positive by FY22,” Chandra told shareholders at the company’s AGM. The TML group, he said, will also look to unlock investment in various non-core businesses.