Tata Power Company slipped 0.63% to Rs 78.65 at 9:18 IST on BSE on equity dilution worries after the firm announced the details of the proposed rights issue.
The announcement was made before market hours today, 10 March 2014.
Meanwhile, the S&P BSE Sensex was up 15.69 points or 0.07% at 21,935.48
On BSE, so far 34,321 shares were traded in the counter as against average daily volume of 4.97 lakh shares in the past one quarter.
The stock hit a high of Rs 79.40 and a low of Rs 77.80 so far during the day. The stock had hit a 52-week low of Rs 68.25 on 6 August 2013. The stock had hit a 52-week high of Rs 102.45 on 15 March 2013.
The large-cap company has equity capital of Rs 237.31 crore. Face value per share is Re 1.
More From This Section
Tata Power Company said that the Committee for Rights Issue, at its meeting held on 8 March 2014 has decided to issue 33.22 crore shares on rights basis at Rs 60 per share, which is proposed to open on or prior to 31 March 2014. Rights entitlement ratio is 7:50, i.e. an eligible shareholder will be entitled to apply for 7 rights shares for every 50 shares held.
The entire rights issue price, that is Rs 60, shall be payable on application, of which Rs 1 shall be applied towards the face value of each share and Rs 59 shall be applied towards the share premium.
The issue opening date for the rights issue shall be no later than 31 March 2014. The 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 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, Tata Power Company said.
It may be recalled that Tata Power had on 28 February 2014 said its board approved raising funds up to Rs 2000 crore by way of a rights issue of equity shares, subject to all applicable statutory and regulatory approvals.
On a consolidated basis, Tata Power reported a net loss of Rs 74.91 crore in Q3 December 2013, lower than net loss of Rs 328.92 crore in Q3 December 2012. Net sales declined 3.7% to Rs 8656.11 crore in Q3 December 2013 over Q3 December 2012.
Tata Power is India's largest integrated power company with a significant international presence.
Powered by Capital Market - Live News