In Sept 2022, it had decided to fold TRF into itself as part of a broader exercise to streamline its corporate structure. But since then, it has infused funds, placed orders with TRF, helping the material handling equipment manufacturer navigate a challenging operating environment.
As a result, its financials improved and on Wednesday, the TRF stock hit the 20% upper circuit on the BSE and closed at the same level at Rs 328.
Trading volume in the counter also jumped substantially. Compared to an average daily volume of about 36,000 shares over the last two-week period, the day’s turnover was nearly 1.6 lakh shares, BSE data showed.
The metal flagship of Tata Group has amalgamated five arms, Tata Steel Long Products (which had a turnover of Rs 7,464 crore in FY23), Tata Steel Mining (Rs 5,000 crore), Tinplate Company of India (Rs 3,983 crore), Tata Metaliks (Rs 3,260 crore) and S&T Mining Company with itself. The consolidation has led to a minor dilution of parent Tata Sons’ stake in Tata Steel. Initially, Tata Steel planned to combine seven businesses into it. On Wednesday, it said the merger process of The Indian Steel and Wire Products is in an advanced stage and will be concluded by Q1 FY25. It also proposes to merge Bhubaneswar Power and Angul Energy into it.