Tata Sons Ltd., the holding company of India’s salt-to-software Tata conglomerate, plans to buy out Tata Steel Ltd.’s stake in Tata Motors Ltd. on or after June 23, it said in a regulatory filing on Saturday.
Tata Sons will buy about 83.6 million shares in Tata Motors at or around the prevailing price of the stock on the date of the planned acquisition, it said in the filing. It cited “restructuring of investment portfolio” as the reason for the planned deal. Tata Motors shares closed at ₹455.75 in Mumbai trading on Friday.
Tata Sons owned 28.71% of Tata Motors at the end of March, while Tata Steel owned 2.9% in the vehiclemaker. Tata Sons owned 29.75% of Tata Steel at the end of March, while Tata Motors owned a 0.46% stake in the steelmaker, according to stock exchange data.
