Tata Teleservices (Maharashtra), a Tata Group company, share price was locked at the 5 percent lower circuit in early trade on January 12 after the company approved conversion of interest outstanding on its remitted acclimated gross profit (AGR) pretenses into equity.
There were pending sell orders of shares, with no buyers available.
Tata Teleservices (Maharashtra) on January 11 expressed its desire for the conversion of the full quantum of similar interest related to acclimated gross profit (AGR) pretenses into equity, the company said in its release.
The net present value of the interest is anticipated to be about Rs 850 crore and is subject to evidence by the Department of Telecommunications.
The average price of the company’s shares at the applicable date of August 14, 2021, as per the computation system handed in the Fleck communication, works out to be Rs41.50 per share, subject to final evidence by the Fleck, the company said.
In case of conversion, it’ll affect in dilution of all the being shareholders of the Company, including the promoters.
Following the conversion, it’s anticipated that the government will hold around9.5 percent of the total outstanding shares of the company, it added.
The Fleck had handed colorful options for telecom service providers to clear their pretenses on October 14. They included the promptness of diapason transaction payment pretenses and AGR- related pretenses for over to four times. The Fleck also said the telcos could convert the interest due on remitted diapason and AGR pretenses into equity.
The TTML board approved the promptness of its AGR pretenses on October 26.
At 916 am, Tata Teleservices (Maharashtra) was quoting at Rs276.50, down Rs14.55, or 5 percent, on the BSE.