Spanish company to take 37.5% stake in Tata firm

Spain-based Gestamp Servicios SL will acquire 37.5% stake in Tata Group firm Automotive Stampings & Assemblies in a deal that could be valued at nearly Rs 36.31 crore.

Under the agreement, Gestamp would acquire up to 37.5% of the paid-up equity share capital of the company from from one of the promoters, Tata AutoComp Systems (TACO), and partly through an open offer to the shareholders at a price of Rs 94.96 per share, the company said in a release issued to the BSE today.

The number of equity shares Gestamp would acquire from TACO would depend on the number of equity shares tendered by the public shareholders in response to the open offer, the release added.

Post-acquisition, Gestamp, along with TACO and Tata Industries, would become the promoters of the company, it said.

The board, at its meeting held yesterday, discussed the acquisition and took note of Gestamp's public announcement issued by Yes Bank on behalf of the Spanish company for acquiring up to 19,02,261 equity shares of the company. After completion of the sale of shares as above, the company would become a joint venture of TACO and Gestamp.

Gestamp and TACO would eventually have 50:50 equity stake in the company. Gestamp would provide the necessary technology to Automotive Stampings in terms of an agreement to be finalised for this purpose.