Tata Steel agrees to offer £550 mn for UK pension deal

17/05/2017 14:05

Tata Steel has taken a leap forward for securing the future of its UK operations – including the Port Talbot works in south Wales –by agreeing to pay £550 million to close long pending pension deal, which will also clear the road for merger of Tata Steel’s British and European steel assets with those of Germany-based ThyssenKrupp.

Tata Steel said that it would pump £550 million and a 33 per cent stake in the UK subsidiary to the retirement fund. However, the deal is subject to formal approval by The Pensions Regulator, but Tata said it expected to get the approval shortly.

“After prolonged and intense discussions and negotiations with the BSPS Trustee, the Pensions Regulator (TPR) and the Pension Protection Fund (PPF), the key commercial terms of a Regulated Apportionment Arrangement (RAA) have been agreed in principle between Tata Steel UK Limited (TSUK) and the BSPS Trustee. These terms are in line with the published principles of TPR and PPF,” said Tata Steel in a filing to the Bombay Stock Exchange.

“If agreement is reached and the necessary approvals are obtained, the RAA will become effective once agreed conditions are satisfied, including the payment by a member of the Tata Steel group of an agreed settlement amount of GBP 550 million to the BSPS and the provision of a 33 per cent equity stake in TSUK,” it added.

Markets remain firm; Tata Steel, Coal India shares advance

11/01/2017 10:17 The key domestic benchmark indices were trading in a positive terrain in the morning trading session tracking firm cues from fellow Asian peers as investors remained focused to President-elect Donald Trump’s first news conference later in the day. The investors also got some support with Prime Minister Narendra Modi’s statement that India was on threshold of becoming most digitised economy in the world. Stocks of South Bank, Mpilcorpl, ISFL, Bancoindia and Alpha will remain in focus as they will unveil their third quarter earnings later today. Investors are also expected to react to the World Bank projection of GDP growth to 7 per cent for FY17 from 7.6 per cent estimated earlier. At 10:10 a.m, the Bombay Stock Exchange bellwether Sensex was trading at 27047.09 up by 147.53 points or by 0.55 per cent, while the NSE Nifty was at 8341.1 points, trading higher by 52.5 points or by 0.63 per cent. The BSE Sensex touched an intraday high of 27078.69 and an intraday low of 26978.44 while the NSE Nifty touched an intraday high of 8345.45 and an intraday low of 8322.25. The top gainers of the BSE Sensex pack were Tata Steel Ltd. (Rs. 445.60,+3.41 per cent), Coal India Ltd. (Rs. 308.05,+2.55 per cent), Lupin Ltd. (Rs. 1509.45,+1.47 per cent), Larsen & Toubro Ltd. (Rs. 1406.00,+1.42 per cent), ICICI Bank Ltd. (Rs. 263.00,+1.04 per cent), among others. Meanwhile, Bajaj Auto Ltd. (Rs. 2717.00,-0.87 per cent), Tata Consultancy Services Ltd. (Rs. 2298.00,-0.75 per cent), Hero MotoCorp Ltd. (Rs. 3049.00,-0.46 per cent), Dr. Reddy’s Laboratories Ltd. (Rs. 3039.45,-0.29 per cent), Infosys Ltd. (Rs. 969.35,-0.13 per cent), were among the top losers on BSE. The Market breadth, indicating the overall strength of the market, was strong. On BSE out of total 2107 shares traded, 1442 shares advanced, 570 shares declined while 95 were unchanged. On the global front, Asian stocks were trading higher today as investors remained focused to President-elect Donald Trump’s first news conference later in the day while the US markets closed on a mixed note in the previous trading session as traders booked some profit ahead of the President-elect Donald Trump’s first news conference later today who promised of increased infrastructure spending and tax cuts.

Post Session: Sensex ends 87 pts lower, Nifty settles below 8,700; Tata group shares fall

25/10/2016 16:37 The Indian benchmark indices ended tad lower on Wednesday, led by losses in frontline bluechip such as Tata Steel, M&M, Idea Cellular, GAIL and HUL, HDFC, Bharti Airtel and TCS, as sentiments remained weak in the absence of any positive trigger. The 30-share BSE SENSEX closed at 28091.42, down by 87.66 points or by 0.31 per cent, and the NSE Nifty ended at 8691.3, down by 17.65 points or by 0.2 per cent. During the day’s trade, the BSE Sensex touched intraday high of 28211.41 and intraday low of 28013.69, while the NSE Nifty touched intraday high of 8722.65 and intraday low of 8663.45. On the corporate front, shares of Tata group companies witnessed selling pressure after Tata Sons removed Cyrus Pallonji Mistry as chairman of the conglomerate and appointed Ratan Tata, chairman of Tata Trusts as interim chairman for four months. The top losers of the BSE Sensex pack were Mahindra & Mahindra Ltd. (Rs. 1303.00,-2.72%), Tata Steel Ltd. (Rs. 415.50,-2.51%), GAIL (India) Ltd. (Rs. 434.90,-2.02%), Hindustan Unilever Ltd. (Rs. 832.05,-2.00%), Oil And Natural Gas Corporation Ltd. (Rs. 289.10,-1.30%), among others. On the flip side, Adani Ports & Special Economic Zone Ltd. (Rs. 312.60,+9.43%), Dr. Reddy’s Laboratories Ltd. (Rs. 3200.45,+3.59%), ICICI Bank Ltd. (Rs. 289.10,+1.60%), Axis Bank Ltd. (Rs. 529.05,+1.49%), Bharti Airtel Ltd. (Rs. 311.05,+1.48%), were among top gainers on BSE. On the sectoral front, IT and FMCG stocks were among top losers on BSE, falling as much as 0.84 per cent and 0.83 per cent respectively. The Market breadth, indicating the overall strength of the market, was flat. On BSE out of total shares traded 3179, shares advanced were 1431 while 1496 shares declined and 252 were unchanged.

Markets extend gains; Tata Steel, HDFC shares advance

18/10/2016 10:20 The key domestic benchmark indices were trading in a positive terrain in the morning trading session tracking a positive trend across markets in Asia as mixed US economic data eased fears over an imminent Federal Reserve interest rate hike, bolstering risk taking appetite. Slow and steady pace of US policy tightening may ensure continued capital flows into emerging markets such as India. Marketmen will also be eyeing the crucial three-day meeting of the all-powerful GST Council, starting today, which will decide on the tax rate and sort out issues like compensation formula for rollout of the new indirect tax regime from April 1, 2017. Shares of Havells India, Mastek and Hindustan Zinc will be in focus as the companies reveal their September quarter earnings. The Q2 earnings season has been off to a rather tepid start with IT bellwethers Infosys and TCS disappointing. At 10:20 AM, the Bombay Stock Exchange bellwether Sensex was at 27742.39 up by 212.42 points or by 0.77 per cent, while the NSE Nifty was at 8582.4 points, trading higher by 62 points or by 0.73 per cent. The BSE Sensex touched an intraday high of 27761.37 and an intraday low of 27652.76 while the NSE Nifty touched an intraday high of 8586.7 and an intraday low of 8555.9 The top gainers of the BSE Sensex pack were Tata Steel Ltd. (Rs. 422.85,+2.96 per cent), Housing Development Finance Corporation Ltd. (Rs. 1326.95,+1.92 per cent), ICICI Bank Ltd. (Rs. 262.45,+1.51 per cent), ITC Ltd. (Rs. 243.65,+1.33 per cent), Adani Ports & Special Economic Zone Ltd. (Rs. 253.95,+1.22 per cent), among others. Meanwhile, Asian Paints Ltd. (Rs. 1173.00,-0.84 per cent), Bharti Airtel Ltd. (Rs. 300.20,-0.35 per cent), were among the top losers on BSE. The Market breadth, indicating the overall strength of the market, was strong. On BSE out of total 2219 shares traded, 1599 shares advanced, 512 shares declined while 108 were unchanged. On the global front, Asian stocks were trading higher today on hopes that US monetary policy will continue to remain accommodative. US stocks closed lower in the previous trading session as investors assessed mixed US economic data and quarterly earnings from the likes of Bank of America.

Tata Steel raises Rs 1,000 cr via debentures

05/10/2016 11:02

Tata Steel said that it has allotted non-convertible debentures (NCDs) worth Rs 1,000 crore on a private placement basis to investors.

“Committee of Directors on October 4, 2016 allotted 8.15 percent, unsecured, redeemable NCDs having a face value of Rs 10,00,000 each for cash aggregating to Rs 1,000 crore, on a private placement basis, to certain identified investors,” the firm said in a regulatory filing.

Last month, Tata Steel in another filing had informed the exchanges about its plans to allot NCDs worth Rs 1,000 crore.

The tenure of the securities is 10 years. In August at its annual general meeting, Tata Steel shareholders had approved a special resolution to raise up to Rs 10,000 crore through various debt securities, including redeemable NCDs.

Tata Steel had said in a July filing said that over the last few years, the company has been investing in its steel making facilities in India and mining assets worldwide, while continuing to upgrade its facilities in Europe and South-East Asia.

“The company seeks to balance its growth ambitions with its goal of having a healthy balance sheet. Growth opportunities are carefully evaluated and benchmarked against its cost of capital. Moreover, all selected growth projects are phased keeping in mind the financial health of the company,” it had said.

Meanwhile, shares of the company were trading at Rs 392.80 apiece, up 0.69 per cent from the previous close at 11:06 hours on BSE.

Post Session-Sensex scales 29-K mark; advances 118 points

08/09/2016 16:29 Indian equity benchmarks resumed their bullish journey on Thursday with the 30-share Sensex rallying over 100 points to close above the 29,000 mark after 17 months as optimism over the Indian economy and hopes of continued stimulus from global central banks bolstered risk taking appetite. The 30-share BSE SENSEX closed at 29,045.28, up by 118.92 points or by 0.41 per cent and the NSE Nifty ended at 8,952.5, up by 34.55 points or by 0.39 per cent. The BSE Sensex touched intraday high of 29,077.28 and intraday low of 28,854.56. The NSE Nifty touched intraday high of 8,960.35 and intraday low of 8,896. Shares of metal companies such as Tata Steel were boosted by improved China trade data, with the country being the largest metals consumer globally. India’s economy may grow 7.5 per cent this fiscal, Dun & Bradstreet (D&B) said in a report, stressing that growth will be driven by improved investment climate, easier norms to do business and a better monsoon that may buoy consumption spending. Dalal Street traders are also eying monetary policy decisions across the US, UK, Euro area and Japan this month. Further global central bank stimulus and a continued low interest rate regime may keep powering foreign fund inflows into Asia’s third biggest economy as risk appetite increases. The top gainers of the BSE Sensex pack were Sun Pharmaceutical Industries Ltd. (up 3.69 per cent), Bajaj Auto Ltd. (up 3.55 per cent), Tata Steel Ltd. (up 3.32 per cent), Maruti Suzuki India Ltd. (up 2.71 per cent) and Lupin Ltd. (up 2.44 per cent), among others. Sector-wise, Realty and Healthcare advanced 3.03 per cent and 2.2 per cent, respectively. The Market breadth, indicating the overall health of the market, was strong. On BSE out of total shares traded 3083, shares advanced were 1667 while 1208 shares declined and 208 were unchanged. On the Asia front, stocks ended mixed amid caution ahead of the ECB policy meet with hopes that the Frankfurt-based central bank may boost QE as it cuts growth forecasts for the Euro area. Shanghai Composite and Hang Seng rose as China’s exports climbed for the sixth straight month in yuan terms, up by 5.9 per cent in August 2016. Japan’s Nikkei 225 fell as traders weighed speculation of a further cut in the Bank of Japan’s key policy rate this month.

Markets remain firm: Tata Motors, Tata Steel shares advance

04/08/2016 10:19 The key domestic benchmark indices were trading in a positive terrain in the morning trading session after initial volatility with investor sentiments getting a massive boost from the clearance of the long pending GST bill in the Rajya Sabha, paving the way for the country’s biggest reform since 1991. The historic bill was cleared by the upper house of Parliament on Wednesday by a 203-0 vote, with no party opposing the constitutional amendment. Also, a pickup in India’s services activity to a three-month high in July signaled an improved outlook for Asia’s third biggest economy, bolstering investor apatite. At 10:20 AM, the Bombay Stock Exchange bellwether Sensex was at 27774.54 up by 77.03 points or by 0.28 per cent, while the NSE Nifty was at 8566.55 points, trading higher by 21.7 points or by 0.25 per cent. The BSE Sensex touched an intraday high of 27921.91 and an intraday low of 27633.11 while the NSE Nifty touched an intraday high of 8601.4 and an intraday low of 8519.5 The top gainers of the BSE Sensex pack were Tata Motors Ltd. (Rs. 496.20,+3.56 per cent), Tata Steel Ltd. (Rs. 365.60,+2.24 per cent), Hero MotoCorp Ltd. (Rs. 3294.55,+1.77 per cent), Bajaj Auto Ltd. (Rs. 2761.50,+1.66 per cent), Power Grid Corporation of India Ltd. (Rs. 178.50,+1.48 per cent), among others. Meanwhile, Lupin Ltd. (Rs. 1658.85,-1.24 per cent), ICICI Bank Ltd. (Rs. 239.85,-0.89 per cent), ITC Ltd. (Rs. 251.20,-0.61 per cent), Infosys Ltd. (Rs. 1079.15,-0.54 per cent), Housing Development Finance Corporation Ltd. (Rs. 1319.25,-0.45 per cent), were among the top losers on BSE. The Market breadth, indicating the overall strength of the market, was strong. On BSE out of total 2046 shares traded, 1278 shares advanced, 690 shares declined while 78 were unchanged. On the global front, Asian stocks were trading higher today as crude oil held onto its recovery and high-yielding currencies climbed. The US markets ended higher in the previous trading session as oil notched up its biggest gain in three weeks and financial stocks rose on strong corporate earnings.

Markets extend gains; TCS, Tata Steel shares advance

01/08/2016 10:20 The key domestic benchmark indices were trading in a positive terrain in the morning trading session as progress on the crucial Goods and Services Tax (GST) bill supported the outlook for Asia’s third biggest economy, improving risk taking appetite. The much awaited GST bill has been listed by the Modi government for consideration and passage in Rajya Sabha’s agenda for this week in the ongoing monsoon session of the Parliament. Shares of HCL Technologies, Tech Mahindra, Indian Bank, Tata Power and GlaxoSmithKline Consumer Healthcare will be in focus this week amidst their April-June quarter earnings announcements. Also, movement of rupee against the dollar, foreign investment trend and global cues will also influence the direction of local bourses this week. At 10:20 AM, the Bombay Stock Exchange bellwether Sensex was at 28233.28 up by 181.42 points or by 0.65 per cent, while the NSE Nifty was at 8693.25 points, trading higher by 54.75 points or by 0.63 per cent. The BSE Sensex touched an intraday high of 28265.27 and an intraday low of 28077.42 while the NSE Nifty touched an intraday high of 8703.15 and an intraday low of 8650.8 The top gainers of the BSE Sensex pack were Tata Consultancy Services Ltd. (Rs. 2676.80,+2.22 per cent), Tata Steel Ltd. (Rs. 362.60,+2.21 per cent), Wipro Ltd. (Rs. 555.00,+1.78 per cent), Axis Bank Ltd. (Rs. 555.50,+1.73 per cent), Tata Motors Ltd. (Rs. 511.10,+1.61 per cent), among others. Meanwhile, ICICI Bank Ltd. (Rs. 255.70,-2.72 per cent), Lupin Ltd. (Rs. 1730.50,-0.59 per cent), Hindustan Unilever Ltd. (Rs. 920.00,-0.16 per cent), Reliance Industries Ltd. (Rs. 1014.75,-0.07 per cent), were among the top losers on BSE. The Market breadth, indicating the overall strength of the market, was strong. On BSE out of total 2144 shares traded, 1425 shares advanced, 624 shares declined while 95 were unchanged. On the global front, Asian stocks were trading higher today as the chances of a US interest-rate increase diminished, after the nation’s economic growth for the second quarter came in below expectations. The US markets ended higher in the previous trading session as a smaller than expected gain in US Q2 GDP raised bets that the Federal Reserve may not be in a hurry to tighten interest rates.

Tata Steel faces Brexit heat; scrip falls 11%

24/06/2016 10:32

Shares of Tata Steel tumbled nearly 11 per cent amid rising concerns that its UK assets sell face the uncertainty as Britain votes to exit the European Union. As per BBC report, Britain voted to leave the European Union.

Reacting to the news, shares of steel maker declined as much as 10.89 per cent in intra-day trade to trade at Rs 297.40 a piece on Bombay Stock Exchange.

In a similar fashion, stocks of the company fell 9.51 per cent to Rs 302.20 apiece on National Stock Exchange.

Meanwhile, the broader benchmark BSE Sensex was trading at 26,016.05, down 986.17 points, or 3.67 per cent, at 10:25 hours.