Shares of Tata Group companies were trading mixed in the morning deals on Wednesday, a day after Shapoorji Pallonji Group, owned by the billionaire Mistry family, told the Supreme Court (SC) that it would exit Tata Sons, provided an early, fair, and equitable solution was reached.
At 09:25 AM, Tata Motors was trading over 1 per cent higher at Rs 134.55, Tata Consumer Products was up over 0.5 per cent at Rs 507, Tata Communications traded nearly 2 per cent higher while Tata Metaliks quoted around 1.4 per cent higher at Rs 512 on the BSE. Tata Elxsi was up 1.5 per cent and Tata Coffee traded around 1 per cent higher.
On the other hand, Tata Consultancy Services (TCS) was trading around 1 per cent lower at Rs 2,506 while Tata Steel was down over 2 per cent. Tata Chemicals dipped 0.25 per cent at Rs 279. In comparison, the benchmark S&P BSE Sensex was up over 0.5 per cent to 37,940 levels.
In a late evening statement, the Mistry family said separation from the Tata group was necessary due to the potential impact the ongoing litigation could have on livelihoods and the economy. The Mistry family owns 18.37 per cent in Tata Sons and is its largest minority shareholder. CLICK HERE TO READ FULL REPORT
Cyrus Mistry and Tata group patriarch Ratan Tata fell out with each other after the Tata Sons board removed Mistry as chairman in October 2016 -- just a few months before Mistry’s term was to expire. Since then, both sides are litigating over the rights of minority shareholders in appointing a director on the board of Tata Sons and whether the Tata Trusts can veto the decisions of the Tata Sons board.
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