Tata Steel to issue Rs. 55 million of 2% convertible preferreds to shareholders

By Angela McDaniels

Seattle, Oct. 8 - Tata Steel Ltd. will issue up to Rs. 54.81 million of 2% cumulative convertible preference shares to its existing shareholders, according to a company notice filed with the Bombay Stock Exchange.

Shareholders will receive nine preference shares for every 10 equity shares owned. Each preference share will have a face value of Rs. 100.

The preference shares will be compulsorily converted on Sept. 1, 2009 at a rate of one equity share of Rs. 10 at a premium of Rs. 590 for every six preference shares.

The issuance was previously approved by the company's board, and the directors set the issue size and conversion price at a meeting on Friday.

Tata Steel is a Mumbai, India-based steel producer and part of the Tata Group of companies.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.