InvestorQ : Is it true that Tata Sons is planning to hive off some of its stake in Tata group companies to create a war chest?
Neelam Naik made post

Is it true that Tata Sons is planning to hive off some of its stake in Tata group companies to create a war chest?

Answer
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Priyanka N answered.
4 months ago


The Chairman of Tata Sons, Mr. N Chandrasekharan, has confirmed that Tata Sons is not planning to monetise any of its investments to raise capital. Chandra pointed out that the group in general and Tata Sons in particular had enough cash to support its plans. Chandra, however, admitted that the group did face challenges in the face of the Coronavirus pandemic but expected that slowdown to be temporary. The only challenge that the Tata Sons holding company has faced that the group value still relies substantially on TCS, which contributes more than 70% of the market cap of the group. There are other companies like Tata Steel and Tata Motors which are bigger in terms but have been going through negative profit cycles for some time now.