Is Tata Chemicals planning to raise a substantial amount through private placement? The street talk is that the placement would be made within a couple of months at a price higher than the current market price of Rs 244. When contacted, the company spokesperson, however, described it as baseless saying that Tata Chemicals did not have any such plan.

Though the stock has not participated much in the market rally, on May 23 it hit the 52-week high at Rs 265. In the last one month, it has moved up by around 11 per cent from the level of Rs 221. During 2006-06, EPS has improved to Rs 20.65 from Rs 16.41 in the previous fiscal. The company's current paid-up capital is Rs 215.16 crore, of which the promoter group's stake represents a little over 31 per cent.

Interestingly, Hindustan Lever, which picked up some 8 per cent stake in the company in 2004 (quarter to September 30), has gradually pared down its holding to 2.57 per cent.

Jayanta Mallick

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