Ratan Tata’s Tata Steel has announced a merger date with Tinplate Company of India Limited (TCIL) as the companies reach a massive deal. The merger of the giants is confirmed to take place on January 19. For those who are unaware, Tata Steel currently has a market cap of more than Rs 116000 crore and on the other hand, market cap of Tinplate Company of India Limited stands at Rs 4564 crore. The record date to determine the shareholders of TCIL and allocate its shares in accordance with the amalgamation plan was announced by Tata Steel on January 8. The merger of the companies has been approved by the National Company Law Tribunal (NCLT) Kolkata.
To TCIL shareholders whose names are listed in the Register of Members on the Record Date, Tata Steel will issue and allot fully paid-up ordinary equity shares. The distribution of Tata Steel shares to TCIL shareholders will be 33 shares at a value of Rs 1 for every 10 shares at a value of Rs 10.
In Monday's trading, the shares of Tinplate Company of India Ltd. and Tata Steel Ltd. saw a slight decrease as the former set January 19 as the record for the proposed merger between the two Tata group companies, which has been approved by the NCLT.
By the end of 2024, seven subsidiary companies of Tata Steel are expected to merge with the parent company. These companies are Tata Steel Long Products (TSPL), The Tinplate Company of India, Tata Metaliks, TRF, Indian Steel & Wire Products, Tata Steel Mining, and S&T Mining Company.
