Not just Titan, BIG BULL Rakesh Jhunjhunwala cuts stake in THIS Tata Group company too

Besides Titan, an ace investor Rakesh Jhunjhunwala has trimmed stakes in another Tata Group companies stock — Tata Motors, a recent June quarter shareholding pattern of the company shows.

Tata Motors is one of the favourite counters of Rakesh Jhunjhunwala after Titan with the largest holding with respect to investment in the company.

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As per the first quarter FY22 shareholding pattern, Rakesh Jhunjhunwala, who is also termed as Big Bull of the stock market, held a 1.14 per cent stake (3,77,50,000 shares) in the auto major as against 1.29 per cent (4,27,50,000 shares) holding in the March quarter FY21.

Tata Motors became the second Tata Group company besides Titan that the Big Bull has reduced his stake in the June quarter. According to Titan’s June shareholding pattern the celebrity investor has slashed at least a quarter per cent in the jewellery company.

The stake cut could be seen as profit booking or the weak movement in the price action since the auto heavyweight, on July 5, 2021, announced that its UK-based subsidiary is likely to report a negative EBIT margin amid a shortage of semiconductor chip shortage.

Tata Motors in a filing to exchanges said the board has approved a proposal to raise up to Rs 500 crore through the issue of securities on a private placement basis.

A meeting of the duly authorised committee approved for subscription, on a private placement basis, up to 5,000 rated, listed, unsecured, redeemable, non-convertible debentures (NCDs) E30-B Series of face value Rs 10,00,000 each aggregating up to Rs 500 crore, the auto major said in a regulatory filing.

Immediate after shareholding pattern release, the stock on Tuesday declined by over 2 per cent to Rs 302 per share on the BSE as against 0.68 per cent decline in the BSE Sense

In the first quarter of FY22, the Big Bull Rakesh Jhunjhunwala bought an additional stake in Steel Authority of India (SAIL) and Edelweiss Financial Services. While he decreased his holding in jewellery and accessories company — Titan by a quarter per cent in Q1 FY22.