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Tata Chemicals shares plummet over 8%

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Tata Chemicals shares plunge more than 8 per cent

Shares of Tata Chemicals witnessed a significant drop of over 8 per cent on Wednesday, mirroring a downward trend in most Tata group shares excluding TCS. Other companies such as Tata Motors, Tata Steel, Tata Investment, and Tata Consumer also experienced declines in their share prices.

Tata Chemicals had seen a surge in its stock value in the previous week amidst speculations of Tata Sons’ potential listing. However, this uptrend was short-lived as a correction in various Tata group stocks occurred once the buzz around the listing subsided.

According to some brokerages, Tata Chemicals was highlighted as one of the primary beneficiaries in the event of Tata Sons’ listing. The restructuring process could potentially lead to a re-rating of the company’s stock, with 80 per cent of Tata Sons’ holdings likely remaining non-monetisable.

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A recent report by investment banking firm, Spark PWM, revealed that four Tata Group companies – Tata Motors, Tata Chemicals, Tata Power, and Indian Hotels – have ownership stakes in Tata Sons. This intricate ownership structure adds complexity to the potential listing of Tata Sons and its implications on the group’s subsidiaries.

As Tata Chemicals and other Tata group shares continue to experience fluctuations in light of the evolving scenario surrounding Tata Sons, investors remain vigilant about the future prospects and potential impact on their investment portfolios.

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