Tata Motors shares close down 3.89%

New Delhi: Shares of Tata Motors closed 3.89% down on Thursday after the company called an extraordinary general meeting (EGM) on 22 December to seek shareholders’ approval for removing Cyrus Mistry and Nusli Wadia as directors of the firm. After a weak opening, the stock further lost 3.89% to close at Rs453.05 on BSE. On NSE, it dipped 4.19% to Rs 451.75. The stock was the worst performer among the blue-chips on both Sensex and Nifty in morning trade. Ousted from Tata Sons, Mistry continues to be chairman of group firms such as Tata Motors and Tata Chemicals.

Tata Sons, the company’s promoter with 26.51% stake, had asked Tata Motors on 10 November to convene an EGM for passing a resolution for removal of Mistry and Wadia as directors. In a board meeting held on 14 November, independent directors of Tata Motors did not offer unanimous support to his leadership and instead backed all decisions taken by the company. In a filing to the BSE on Wednesday, Tata Motors said the company’s board at its meeting decided to convene an EGM “to consider and if thought fit, to pass an ordinary resolution for removal of C P Mistry and Nusli Wadia as directors of the company”.