Shares of Tata Consultancy Services fell 5.44% on Tuesday after reports said that holding company Tata Sons Limited planned to sell about 1.5% of its stake in the company to pay debts.
On the Nifty, Tata Consultancy Services finished at Rs 2,886.10 per share, much lower than Monday’s close of Rs 3,052.15.
The price of the stake sale is likely to be between Rs 2,872 and Rs 2,925, Bloomberg reported.
The 2.83 crore shares Tata Sons reportedly plans to sell are worth around $1.25 billion (Rs 8,127 crore), a term deal sheet showed, according to Bloomberg.
Tata Sons plans to use the money it raises to pay lenders to the company’s subsidiary Tata Teleservices and raise stake in some other units, unidentified people told the news outlet.
Tata Sons had 73.5% stake in the software company at the end of December 2017.