TRF shares hit 20% upper circuit after it calls off merger with Tata Steel

On its part, TRF also attempted to enhance debtor collections along with attempting cost and asset optimisation.

The board of Tata Steel has also consented to withdrawal of the scheme.

An application to withdraw the proposed scheme has been filed with the Kolkata bench of the National Company Law Tribunal (NCLT) who has convened a meeting of the company's shareholders on February 8 to consider the above scheme to be infructuous.

Promoters hold a 34.6% stake in TRF based on the December quarter shareholding pattern.

Tata Steel had announced the merger of all metal companies of the Tata Group with itself in September 2022, under which, companies like Tata Steel Long Products, Tinplate, Tata Metaliks, TRF and two unlisted companies were to be merged into the steel behemoth.

Shareholders of TRF were to get 17 shares of Tata Steel for every 10 shares that they held, as part of the merger swap ratio.

Shares of TRF, post the 20% jump on Wednesday are almost back at the levels at which they were when the merger was announced in September 2022. The stock is currently at ₹328, while it had closed at ₹338.85 on September 26, 2022.