Consistent margin gains are key for Tata Communications stock: Analysts

Tata communications transferred 773 acres of land valued at about Rs 12,000 crores in to Hemisphere Properties India (HPIL)

The Tata Communications stock hit the upper circuit, gaining 5 per cent, as the uncertainty over the surplus land demerger ended with the company transferring 773 acres valued at about Rs 12,000 crore into a new entity — Hemisphere Properties India (HPIL).  

All shareholders of Tata Communications will get shares in the demerged entity in the ratio of 1:1, with the record date set at November 18. The demerged entity needs to be listed within two months and the government, which owns 51 per cent, is expected to start the process. 

The surplus land was skewing the process of valuing Tata Communications