Tatas strive to seek Rs15,000 cr funds

Tatas strive to seek Rs15,000 cr funds
PTI
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First Published: Sun, Dec 21 2008. 06 44 PM IST
Updated: Sun, Dec 21 2008. 06 44 PM IST
New Delhi: Affected by domestic slowdown and recession in the West, Tatas are striving to raise over Rs15,000 crore, on top of Rs13,000 crore it got from the sale of equity in a telecom arm, a deal on which market regulator Securities and Exchange Board of India (SEBI) has sought some clarifications.
Resource mobilisations through public offer of debt securities, sale of Tata Motors’ vehicle loan pool, private equity placement and soliciting public deposits apart, the group is also seeking support from UK and Dutch governments for rescuing its prized purchases Corus and Jaguar-Land Rover (JLR).
While Tata’s discussions with the governments in Britain and Netherlands have not taken a final shape either way, the SEBI has asked for clarifications on an open offer related to sale of 26% equity in Tata Teleservices to Japan’s NTT DoCoMo.
No answers could be obtained from the group on queries related to the open offer that is being made for up to 20% share acquisition in Tata Tele’s listed arm Tata Teleservices (Maharashtra).
There were also no response on the quantum and options of fund mobilisation, but estimates show that it could be in the range of Rs15,000 crore to Rs20,000 crore.
After initiating the process for raising about Rs2,700 crore through public deposits, Tata Motors is believed to be mulling raising about Rs10,000 crore by selling its vehicle loan pool, most probably to a group company.
At the same time, another group entity Tata Capital is looking to raise about Rs1,000 crore through a public offer of debt securities. The same company is also planning to raise about Rs2,000 crore through private equity route.
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First Published: Sun, Dec 21 2008. 06 44 PM IST
More Topics: Tata | Resources | Britain | JLR | Corus |