Tatas’ share pledge block vindictive, says SP Group
Mistry group planned to raise funds
The Shapoorji Pallonji Group that owns 18.37% in Tata Sons on Friday said the Tatas moving the apex court to block its plan to pledge shares for raising funds reeked of vindictiveness and oppression of minority shareholder rights.
On September 5, Tata Sons had moved the Supreme Court seeking to restrain the Mistry group from raising capital against their Tata Sons shares. Through the petition, the Tatas had sought to prevent the SP Group from creating any pledge of shares.
The SP Group was planning to raise ₹11,000 crore and had signed a deal with a marquee Canadian investor for ₹3,750 crore in the first tranche. The SP Group’s shareholding in Tata Sons is valued at more than ₹1 lakh crore. Tata Sons’ plea came a day after the SP Group signed an agreement with the investor. The move by Tata Sons “will jeopardise the future of 60,000 employees and over 1 lakh migrant workers of various SP Group entities,” an SP Group spokesperson said.