Tata Motors raises QIP issue size to $750 mn

Tata Motors, India's biggest vehicle maker, stated today that it has decided to increase the issue size of the qualified institutional placement (QIP) by 43 per cent to $750 million in view of an encouraging response it received.

The committee of directors of the company has authorised that the size of the offering of the 'A' Ordinary Shares be raised from $400 million to $550 million, a release from the company stated today.

On Friday, Tata Motors had informed regarding the launch of an issue of Ordinary Shares and 'A' Ordinary Shares through the QIP route for a base amount of $525 million, comprising of 4200 million of Ordinary Shares and $325 million of 'A' Ordinary Shares.

The company is raising funds to reduce its debts, capital expenditure, long term working capital, growth objectives, general corporate purposes among other purposes.