Following the announcement of a new equity interest purchase in its Singapore-based subsidiary, T Steel Holdings Pte. Ltd., valued at Rs 2,603 crore, Tata Steel shares are expected to be the focus of attention on Friday.
Following business hours on Thursday, the steelmaker revealed that it had paid $300 million (Rs 2,603.16 crore) for 191.08 crore common equity shares of T Steel Holdings.
This action comes after an August 28, 2024, investment of Rs 2,348 crore in the same company. Tata Steel emphasized that Tata Steel emphasized that T Steel Holdings would remain a wholly owned subsidiary after the transaction.
After the announcement, the company’s shares ended Thursday’s trading session on the BSE 1.6% higher at Rs 138.00. Despite the current rise, Tata Steel’s stock has dropped 10.32% in the previous six months and 2.13% over the last year. Nonetheless, the stock has had a short-term comeback, rising 4.85% last month.
Analysts continue to express cautious optimism. The consensus average target price for Tata Steel is Rs 160 per share, which suggests a possible 16% increase from present levels, according to data from Trendlyne. Of the thirty analysts that follow the stock, sixteen still have a “purchase” rating, eight suggest a “hold,” and six suggest a “purchase.”
