On January 14, Indian steel giant Tata Steel Limited announced that it has fixed a price band of INR 594 to INR 610 per equity share for its further public issue of 57 million ordinary shares aimed at raising up to INR 34.77 billion ($769.5 million).
Tata Steel said in its statement that its committee of directors was duly authorized by the board of directors on the issue by a resolution dated January 14, 2011.
The price range represents a discount of 1.9 percent to 4.7 percent on January 14 closing price of INR 621.70, press reports indicated.
The Anchor Book will open and close on January 18, 2011, Tata Steel said, adding that the issue will open on January 19, 2011 and close on January 21, 2011.
Tata Steel will reportedly use INR 18.75 billion ($413 million) of the earned capital source to fund the expansion project at its Jamshedpur plant in eastern India and a branch of the fund will also be utilized to finance INR 10.9 billion of debt.