Tata Motors had decided to withdraw an NCD issue to raise up to Rs 1,000 crore

New Delhi, May 15 () Tata Motors on Friday said it is planning to raise Rs 1,000 crore through issuance of securities. The company is desirous of offering rated, listed, secured, redeemable, non-convertible debentures (NCDs) aggregating Rs 1,000 crore, Tata Motors said in a regulatory filing.

In this regard, the auto major will hold a meeting of its duly constituted committee of the board on May 20, 2020, it added.

The above issuance is pursuant to the board's approval on March 27, Tata Motors said.

Last week, Tata Motors had decided to withdraw an NCD issue to raise up to Rs 1,000 crore, due to tight market conditions.

On May 5, the company said a board-constituted committee had approved raising up to Rs 1,000 crore through issuance of NCDs on a private placement basis.

Then on May 7, it said in a regulatory filing :"We hereby inform that the company has decided to withdraw the issue for private placement of unsecured NCDs in view of the higher cost expectations from the market participants due to the tight money market conditions."

The company continues to have sufficient liquidity and would consider issuance of NCDs at an appropriate time and under normalised market conditions with necessary approvals, it had noted.

The company had planned to issue the NCDs in three tranches of Rs 500 crore, Rs 300 crore and Rs 200 crore with redemptions due on September 30, 2022, November 28, 2022 and December 29, 2022 ,respectively.

Tata Motors shares were trading 0.66 per cent up at Rs 83.25 apiece on the BSE.

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