The stock price of Tata Group went up by 6 percent after the Court announcement in favor of Tata Group.
Supreme Court gave allowance to the firm’s appeal. The company was against the order of the National Company Law Appellate Tribunal. NCLAT assigned the order to restore the position of Cyrus Mistry as Tata Sons chairman.
Further, the court allowed an appeal to the conglomerate. The dispute commenced in 2016 with the expulsion of the chairman.
The share price of the Tata motors on 1300 hours was Rs 397.00. The high intraday priced at Rs 301.40 and the low intraday at Rs 290.50.
The conglomerate consists of 17 firms offering various products.
Tata Consultancy Services Limited shares priced at Rs 3116.05 on 1300 hours.
The issue began in the year 2016 when the action to remove Cyrus from his position took place. Thereafter, Ratan Tata became the interim chairman. Later, in 2017 N Chandrasekaran took over the chairman position.
Cyrus Mistry belongs to the Pallonji family which owns a stake of 18.4 percent stake in Tata Sons. In addition, his father is the chairman of Shapoorji Pallonji Group.
In 2020, the SP group decided to remove ties with Tata Sons. The family offered a share swap agreement. However, the Tata Group rejected the proposal.
The share swap agreement includes the exchange of shares of one company with another. The exchange is based on the exchange ratio. This situation occurs in merge, acquisition or takeovers,
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