Tata Communications share price ends over 7% higher on nod to raise funds via NCDs
Share price of Tata Communications ended 7.46% or 24 points higher at Rs 355.70 compared to the previous close of Rs 331.20
- Apr 15, 2020,
- Updated Apr 15, 2020 6:10 PM IST
Tata Communications share price closed higher today after the firm's board gave nod to raising up to Rs 650 crore through issuance of non-convertible debentures (NCDs). Share price of Tata Communications ended 7.46% or 24 points higher at Rs 355.70 compared to the previous close of Rs 331.20.
Tata Communications share has gained 51.09% in last 5 days. The stock opened 7.19% higher at Rs 355 today.
It touched an intraday high of Rs 384.9 by rising 16.21% on BSE. Tata Communications market cap rose to Rs 10,143 crore.
The mid cap stock has lost 38.78% during last one year and fallen 10.16% since the beginning of this year. However, the stock has gained 36% in a week and 42% in a month.The stock has traded higher than 5 day, 20 day and 50 day moving averages but lower than 100 day and 200 day moving averages.
"The board of directors at its meeting held today...has approved fund raising by way of private placement of rated, secured, listed redeemable non-convertible debentures for Rs 500 crore plus green shoe option of Rs 150 crore," Tata Communications said.
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The NCDs will have tenure of three years from the deemed date of allotment. The coupons issued for the fund will carry interest rate of 7.48% per annum. The company said proceeds of the issue will be used for refinancing of existing debt, working capital, capital expenditure incurred in the last 12 months, and for general corporate purposes.
Tata Communications posted around 66 per cent dip in consolidated profit to Rs 58.85 crore for the third quarter ended December 31, 2019. Total income of declined to Rs 4,242.69 crore during the quarter from Rs 4,288.65 crore in the year-ago period.
By Aseem Thapliyal
Tata Communications share price closed higher today after the firm's board gave nod to raising up to Rs 650 crore through issuance of non-convertible debentures (NCDs). Share price of Tata Communications ended 7.46% or 24 points higher at Rs 355.70 compared to the previous close of Rs 331.20.
Tata Communications share has gained 51.09% in last 5 days. The stock opened 7.19% higher at Rs 355 today.
It touched an intraday high of Rs 384.9 by rising 16.21% on BSE. Tata Communications market cap rose to Rs 10,143 crore.
The mid cap stock has lost 38.78% during last one year and fallen 10.16% since the beginning of this year. However, the stock has gained 36% in a week and 42% in a month.The stock has traded higher than 5 day, 20 day and 50 day moving averages but lower than 100 day and 200 day moving averages.
"The board of directors at its meeting held today...has approved fund raising by way of private placement of rated, secured, listed redeemable non-convertible debentures for Rs 500 crore plus green shoe option of Rs 150 crore," Tata Communications said.
Share Market Update: Sensex ends 310 points lower, Nifty at 8,925; Kotal Bank, M&M top losers
The NCDs will have tenure of three years from the deemed date of allotment. The coupons issued for the fund will carry interest rate of 7.48% per annum. The company said proceeds of the issue will be used for refinancing of existing debt, working capital, capital expenditure incurred in the last 12 months, and for general corporate purposes.
Tata Communications posted around 66 per cent dip in consolidated profit to Rs 58.85 crore for the third quarter ended December 31, 2019. Total income of declined to Rs 4,242.69 crore during the quarter from Rs 4,288.65 crore in the year-ago period.
By Aseem Thapliyal