Supreme Court adjourns Tata-Mistry matter for a week1 min read . Updated: 05 Nov 2020, 07:18 AM IST
- The hearing was adjourned following a request from investment firm Cyrus Investment and Sterling Investment as the advocate on record was unwell
MUMBAI: The Supreme Court on Wednesday adjourned for a week the hearing in the case of alleged mismanagement and oppression of minority investors at Tata Sons Ltd. The hearing was adjourned following a request from investment firms -- Cyrus Investment and Sterling Investment -- as the advocate on record was unwell.
The apex court was expected to take on record the 29 October plea by the two investment firms for separation from Tata Sons as part of additional relief in its minority oppression case. The Shapoorji Pallonji group had said in its plea that basic obligation of protecting the rights of largest non-Tata shareholder has been broken.
It added that Tata group would go to any lengths to prejudice the rights of SP group and its interest would not be protected. As part of separation proposal for selling its ₹1.5 trillion stake in Tata Sons, SP group suggested a share swap. Instead of Tata group shelling out this large sum in one-go, the SP group sought that it should be given shares of Tata group’s listed companies.
SP group is bucketing Tata Sons in three – listed companies, unlisted companies and brand value. For unlisted companies, SP group is seeking independent valuation, payable in cash and or in listed securities and for brand value payable by cash or listed securities. SP group’s arguments in favour of this proposal include – won’t saddle Tata Sons with additional debt, easier and quicker to implement, disagreement over valuation will be minimised and provide liquidity to Tata group companies.
Tata group lawyers were expected to argue on the minority oppression case and raise objections or agreeability on the SP group's suggested share swap.
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