Tata Steel Thursday said it has acquired shares and convertible warrants of Tata Metaliks for about Rs 403.79 crore. Tata Metaliks (TML) is one of India's leading producers of high-quality Pig Iron (PI) and Ductile Iron (DI) pipes. It operates a state-of-the-art manufacturing plant near Kharagpur, West Bengal. 

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In a regulatory filing, the company said it has acquired 27.97 lakh (27,97,000) equity shares of TML, a subsidiary of Tata Steel, at a price of Rs 642 per share aggregating to Rs 179.57 crore.

It also acquired "34,92,500 warrants at a price of Rs 642 per warrant, with a right exercisable by the warrant holder to subscribe for one equity share per Warrant of face value of Rs 10 each, aggregating to Rs 224,21,85,000 (25 per cent paid on application)". 

On objects and effects of acquisition, Tata Steel said it is to fund the expansion project and also strengthen the balance sheet of TML. 

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Shares of Tata Steel closed at Rs 507 a piece on BSE, down 1.73 per cent over Wednesday.