Tata Steel has called off its merger scheme with TRF, leading to a significant rise in TRF’s share prices. The stock soared by 20% and reached a 52-week high of Rs 327.70. In contrast, Tata Steel saw a 2% increase in its shares and also hit a new 52-week peak.
TRF’s decision to withdraw the merger scheme was based on its improved business performance in recent quarters. The company received substantial support from Tata Steel in the form of order placements and capital infusion. TRF focused on enhancing debtor collections, optimizing costs and assets to achieve these positive results.
The withdrawal was approved by TRF’s Board of Directors on Tuesday, and Tata Steel’s Board of Directors also consented to the decision. The scheme, which aimed to realize synergies and enhance stakeholder value, was initially approved on September 22, 2022.
TRF, a Tata Enterprise established in 1962, specializes in electromechanical jobs, industrial structure and fabrication, and life cycle services. The company’s manufacturing facility, along with its design and engineering team, enables it to execute these services efficiently. TRF is promoted by Tata Steel and ACC Limited.
TRF is set to announce its December quarter results on Monday, February 12, 2024. Over the past 12 months, TRF shares have delivered impressive returns of over 90%, outperforming the Nifty, which yielded 23% returns during the same period. Currently, the stock is trading above its 50-day and 200-day simple moving averages, with momentum indicators RSI and MFI hovering at 61 and 63, respectively.
The cancellation of the merger scheme has had a positive impact on TRF’s stock prices, reflecting investor confidence in the company’s improved performance.
Here’s an FAQ section based on the main topics and information presented in the article:
Q: What happened with Tata Steel and TRF’s merger scheme?
A: Tata Steel has called off its merger scheme with TRF.
Q: How did TRF’s share prices react to the cancellation of the merger scheme?
A: TRF’s share prices rose by 20% and reached a 52-week high of Rs 327.70.
Q: What happened to Tata Steel’s share prices?
A: Tata Steel saw a 2% increase in its shares and also hit a new 52-week peak.
Q: Why did TRF decide to withdraw the merger scheme?
A: TRF’s decision was based on its improved business performance in recent quarters, with support from Tata Steel in the form of order placements and capital infusion.
Q: When was the withdrawal of the merger scheme approved?
A: The withdrawal was approved by TRF’s Board of Directors on Tuesday, and Tata Steel’s Board of Directors also consented to the decision.
Q: When was the merger scheme initially approved?
A: The merger scheme was initially approved on September 22, 2022.
Q: What does TRF specialize in?
A: TRF specializes in electromechanical jobs, industrial structure and fabrication, and life cycle services.
Q: When will TRF announce its December quarter results?
A: TRF is set to announce its December quarter results on Monday, February 12, 2024.
Q: How have TRF’s share prices performed over the past 12 months?
A: Over the past 12 months, TRF shares have delivered impressive returns of over 90%, outperforming the Nifty, which yielded 23% returns during the same period.
Q: What are the current trading indicators for TRF’s stock?
A: The stock is trading above its 50-day and 200-day simple moving averages, with momentum indicators RSI and MFI hovering at 61 and 63, respectively.
Q: How has the cancellation of the merger scheme affected TRF’s stock prices?
A: The cancellation of the merger scheme has had a positive impact on TRF’s stock prices, reflecting investor confidence in the company’s improved performance.
Definitions:
– Merger scheme: A plan or agreement between two or more companies to combine their operations and assets to form a single entity.
– Shares: Units of ownership in a company that represent a proportional stake in its assets and profits.
– Debtor collections: The process of collecting payments from customers who owe money.
– Optimizing costs and assets: Finding ways to reduce expenses and make the most efficient use of resources.
– Board of Directors: A group of individuals elected by the shareholders of a company to make decisions on behalf of the company.
– Simple moving average: A calculation used to analyze data points over a certain period of time to identify trends and patterns.
– Momentum indicators: Tools used by traders to measure the speed and strength of price movements in a stock.
Related links:
– Tata Steel
– TRF