Investors chase Tata Tele shares, stock shoots up 20%

PTI Feeds
Investors chase Tata Tele shares, stock shoots up 20%

New Delhi, Apr 28 (PTI) Shares of Tata Teleservices

(Maharashtra) Ltd today saw heavy buying, soaring nearly

20 per cent, after the Delhi High Court rejected RBI’s

intervention plea in the Tata-Docomo case.

The stock jumped 19.94 per cent to settle at Rs 8.30 —

its highest trading permissible limit for the day — on the

BSE.

On the NSE, it surged 19.56 per cent to close at Rs 8.25.

The company’s market valuation rose by Rs 270.59 crore to

Rs 1,622.59 crore.

On the volume front, 28.67 lakh shares of the company

were traded on the BSE and over 89 lakh changed hands on the

NSE during the day.

While Tata Sons and group companies hold 63.11 per cent

stake in the firm, NTT Docomo has 11.76 per cent, as per March

quarter data with BSE.

The Delhi High Court today rejected the RBI’s

intervention plea in the Tata-Docomo case while taking on

record the terms of consent of the settlement between the

Japanese telecom major and Tata Sons over the payment of USD

1.17 billion damages to the former.

Justice S Muralidhar in his verdict set aside the Reserve

Bank of India’s (RBI) intervention plea opposing the

settlement as well as the damages awarded to Docomo by the

London Court of International Arbitration (LCIA).

Docomo and Tata had gone for arbitration as the Indian

company was not able to find a buyer for the Japanese telecom

major’s 26.5 per cent stake in their joint venture, Tata

Teleservices Ltd (TTSL), when it exited.

Docomo had moved the Delhi High Court for enforcement of

the award after the Tatas cited refusal of permission by the

RBI to make the payment.

This is published unedited from the PTI feed.