The promoters of Shapoorji Pallonji (SP) Group are planning to raise Rs crore by dealing debentures to investors, according to a news report This will be secured against shares of Tata Sons, it said, citing documents with the Registrar of Companies by Sterling Investment Corporation, a Mistry family existent, on September 25 According to the report, legal experts call the planned move “ potentially controversial” as Tata Sons has kicked to matching moves by the Mistrys in the yesteryear. The Mistry family owns an 18 percent stake in Tata Sons, the holding company of the Tata Group.
The dissension between the Tatas and the Mistrys broke out in 2016 after Cyrus Mistry was ousted as Chairman of Tata Sons With the Croesus raised by the proposed debenture deal to investors, the SP promoters intend to make advance payments of bank loans of group companies, said the report. They also want to use the Croesus as the working capital for group concerns that are engaged in the construction of high- value designs comparable as canvas drilling configuration, it said.
The promoters of Sterling Investment, which owns a9.185 percent stake in Tata Sons, plan to raise Rs crore by pledging Tata Sons shares through group company Evangelos Ventures, the report said Tata Sons shares held by Sterling Investment were pledged with Standard Chartered Bank against outstanding loans of Shapoorji Pallonji and Co Ltd worth Rs crore, said the report. Notwithstanding, the loans have been requited and the shares have been released by the bank, it said, citing the documents.
The Supreme Court on March 26 ruled in favour of Tata Sons, allowing the empire’s solicitations against the National Company Law Appellate Tribunal (NCLAT) order to reinstate Cyrus Mistry as Chairman. Mistry had challenged his October 2016 riddance The apex court, notwithstanding, remained silent on pledging of the Tata Sons shares held by the Mistry family.