Tata Steel share price jumps from today's low after THIS update on ₹3,000 crore fundraising plan

Stock market today: Steelmaker Tata Steel's share price rebounded in trade on Friday, February 21 to trade 2.5% higher over its previous close following an update regarding its ₹3,000 crore fundraising plan.

Tata Steel announced via an exchange filing today that its Committee of Directors have approved the allotment of 3,00,000 non-convertible debentures (NCDs), having a face value of ₹1,00,000 each to identified investors on a private placement basis for a tenure of five years. The blue-chip company last week said it will raise ₹3,000 crore on a private placement basis.

Furthermore, the coupon rate of the proposed NCDs was discovered at 7.65% on the basis of the multiple yield allotment method through the Electronic Book Provider Platform of BSE Limited on February 20, 2025, as per the filing. The NCDs are proposed to be listed on the Wholesale Debt Market Segment of BSE Limited.

The credit ratings assigned to the bonds are ‘AAA’ by India Ratings and ‘AA+’ by CARE Ratings Limited, as per the exchange filing by Tata Steel.

Recently, India Ratings upgraded the bonds of the blue-chip steel company to the highest grade of AAA from AA with a stable outlook.

Stock Price Move

Tata Steel share price opened lower at ₹137.50 versus its previous close of ₹138. However, the stock rebounded from the day's low to hit an intra-day high of ₹141.55, translating into an upside of 2.5%. From its day's low, the stock is up 3.2%.

Even amid the ongoing turmoil on Dalal Street in the past few months, Tata Motors share have held their ground, with the stock rising 7% in the last one month as against a 1% decline in the Nifty 50 index. The stock is trading flat on a one-year basis, shedding just 0.3% during this period.

The 52-week high for Tata Steel shares stands at ₹184.60, scaled in June 2024, and a 52-week low of 122.60, hit in January 2025.

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