Tata Steel to raise Rs9135 cr in rights issue

Tata Steel to raise Rs9135 cr in rights issue

Mumbai: Tata Steel Ltd will raise Rs9135 crore from a rights issue of equity shares and convertible preference shares, a newspaper advertisement showed on Thursday.

The issue, a part of the financing for the takeover of Corus Group, comprises 121.79 million equity shares issued in the ratio of one for every five, and 548 million convertible preference shares in the ratio of nine for every 10 equity shares held.

The equity shares are priced at Rs300 each and the convertible preference shares at Rs100 each.

The issue opens on 22 November and close on 21 December, the advertisement showed.

JM Financial, Citigroup and DSP Merrill Lynch are the lead managers to the issue.

Tata Steel shares closed at Rs857.95 on Wednesday.