Voltas falls 4% on reports of Tata Sons looking to divest 9% stake in co

Voltas’ shares lost around 4 percent in the morning trade as investors reacted to reports of Tata Group looking to divest stake in the company.

According to CNBC-TV18, the Group is looking to sell up to 9 percent stake in the company and may look at an offer for sale (OFS) option for the same. The said divestment could take place in more than one tranche. Currently, Tata Sons is said to have 26.6 percent stake in Voltas.

The report further outlined tha the group could sell between 4-5 percent of Tata Sons’ stake in Voltas and could sell entire 0.58 percent stake of EWart Investments in the firm.

The capital raised through this sale could then be used for defence and aerospace investments. The move is also aimed at simplifying holding structure in group companies.

At 10:15 hrs Voltas was quoting at Rs 505.10, down Rs 8.40, or 1.64 percent, on the BSE. It touched an intraday high of Rs 512.80 and an intraday low of Rs 493.45.