Shares of Tata Steel today rose
by over 3 per cent to touch its multi-year high after the
company concluded a new agreement under which its UK business
stands separated from the 15-billion pound British Steel
Pension Scheme (BSPS).
The stock gained 3.30 per cent to settle at Rs 683.15 on
the BSE. During the day, it surged 4.64 per cent to Rs 692 --
its multi-year high.
On NSE, shares of the company went up by 3 per cent to
close at Rs 682.90.
The company's market valuation climbed Rs 2,122.61 crore
to Rs 66,348.61 crore.
In terms of equity volume, 6.20 lakh shares of the
company were traded on BSE and over one crore shares changed
hands on NSE during the day.
"Tata Steel UK has received confirmation from the
pensions regulator that it has approved a regulated
apportionment arrangement (RAA) in respect of BSPS," Tata
Steel said in a statement yesterday.
As part of the arrangement, a payment of 550 million
pound has been made to BSPS by Tata Steel UK and shares in
Tata Steel UK, equivalent to 33 per cent stake, have been
issued to the BSPS trustee, the steel giant said.
The BSPS has now been separated from Tata Steel UK and a
number of affiliated companies, it added.
RAA is a mechanism that allows a financially troubled
employer in the UK to detach itself from defined benefit
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
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