Tata Motors board to meet next week to consider fund-raise proposal

The board meeting is scheduled to be held on May 18, 2021 to consider and approve the audited financial results for the quarter and financial year ended March 31, 2021

Tata Motors on Friday said its board will meet next week to consider a proposal to raise funds through various means.

The board meeting is scheduled to be held on Tuesday, May 18, 2021 to consider and approve the audited financial results for the quarter and financial year ended March 31, 2021.

"The board in the said meeting would also consider a proposal for raising funds by way of issue of one or more instruments including convertible securities of any description or debt securities, through preferential issue, private placements, rights issue or any other methods or combination thereof in the domestic and/or international markets," Tata Motors said in a regulatory filing.

However, Tata Motors did not give an indication on the quantum of the amount that the company intends to raise.

Last month Tata Motors said it has set in motion a business plan to protect and serve the interests of its customers, dealers and suppliers as the lockdowns enforced in various parts of the country are expected to impact vehicle demand temporarily.

As per its business agility plan, the company aims to maintain an optimal level of stock with dealers to meet customer demand, depending on the market situation.

By carefully calibrating and matching supplies with retail demand, the company shall ensure that optimal levels of inventory are maintained with dealers to meet whatever customer demands arise and also be prepared for a rebound in demand once the situation returns to normalcy, the company had said.