Tata Chemicals shares rise on reports Tata Sons' stake buy buzz

NEW DELHI: Shares of Tata Chemicals advanced on Wednesday after reports that Tata Sons, the holding company of the salt-to-software conglomerate, is buying out Tata Global Beverages stake in Tata Chemicals and vice versa.

Following the development, the stock gained 1.34 per cent to Rs 642.55 in trade and eventually closed the day at Rs 636.30, up 0.35 per cent on BSE. It opened at Rs 640 and touched an intraday high and low of Rs 646.40 and Rs 632.65 respectively.

Meanwhile, shares of Tata Global Beverages plunged 2.34 per cent to Rs 207.

The deal is estimated around Rs 1,458.55 crore. According to reports, the move by Chairman N Chandrasekaran is to unwind the cross-holding structure for a leaner organisation.

For the quarter ended June 30, 2017, Tata Chemicals reported the total revenue stood at 984.14 crore and net profit stood at 160.58 crore.

The scrip touched its fresh 52-week high of Rs 665.10 on May 4, 2017 and its 52-week low of Rs 445.50 on November 21, 2016.