Tata Steel board approves allotment of 7.58 crore shares to eligible shareholders of Tata Steel Long Products Limited

New Delhi: The board of Tata Steel has approved the allotment of 7.58 crore shares to eligible shareholders of Tata Steel Long Products Limited. These equity shares are proposed to be listed and traded on BSE Limited and the National Stock Exchange (NSE), Tata Steel said in a regulatory filing on Wednesday.

Share Exchange Ratio

According to the filing, the share exchange ratio will be 67:10, which means that 67 shares of Tata Steel will be allotted for every 10 shares of Tata Steel Long Products.

Scheme of Amalgamation

The scheme of amalgamation was approved and sanctioned by the NCLT-Mumbai Bench vide order dated October 20, 2023, and the NCLT-Cuttack vide order dated October 18, 2023. These equity shares so allotted shall rank pari-passu with the existing shares of Tata Steel.

Allotment Details

The above allotment, Tata Steel said, includes 14,430 fully paid-up equity shares of Tata Steel of face value Re 1 each, allotted to ‘TSL-TSLP Fractional Share Entitlement Trust...and 25,47,224 fully paid-up equity shares allotted to Tata Steel Limited - Unclaimed Securities - Suspense Escrow Demat Account TSL-TSLP Merger..., it said.

Merger Process

Tata Steel is in the process of merging a few of its subsidiaries with itself. These include Tata Steel Long Products, The Tinplate Company of India, Tata Metaliks, TRF, Indian Steel & Wire Products, Tata Steel Mining and S&T Mining Company.

The merger process is expected to be completed by the end of the current financial year.