Acquires 1.3 crore optionally convertible preference shares in TRF
Tata Steel has infused Rs 13 crore in its associate company TRF Ltd by acquiring 1.30 crore Optionally Convertible Redeemable Preference Shares – Series 2. The shares will carry a coupon of 11.25 per cent.
The OCRPS are being acquired to assist TRF reduce its existing debt, pay vendors dues, seek material supplies support for completing legacy projects and deliver other committed orders and meet other general corporate purposes, said Tata Steel in a statement on Saturday.
As a promoter, Tata Steel holds 34.11 per cent equity shares in TRF, 25 crore Non-Convertible Redeemable Preference Shares and 1.20 crore 11.25 per cent Optionally Convertible Redeemable Preference Shares aggregating to 100 per cent of the total preference share capital.
The revenue of TRF last fiscal was down at Rs 114 crore against Rs 186 crore logged in the same period last year. In FY19, it was Rs 237 crore.
TRF is engaged in the business of designing and manufacturing bulk material handling systems and equipment for core sector industries such as power, ports, steel, mining and cement for projects undertaken on turnkey basis.
The equipment includes crushers, screens, feeders, conveying equipment, mining equipment, wagon tippler systems and stacker reclaimer.
TRF operates electromechanical jobs, industrial structure and fabrication, lifecycle services and allied services, including electro-mechanical jobs and industrial fabrication specialised in design, manufacture, erection and commissioning of units or equipment, lifecycle services to meet the post-commissioning requirement of customers.
The manufacturing facility of the company is located at Jamshedpur works on a 21-acre area at Burmamines, said Tata Steel.