10 Nov , 2022 By : Monika Singh
Tata Motors announced delisting of American Depository Shares (ADS) from the New York Stock Exchange and termination of its ADS programme. It will file for voluntary delisting in January 2023 and terminate its ADS programmes with Citibank.
“The objectives with which these were originally listed are no longer relevant. This is being done with an aim to simplify financial reporting requirements and reduce administrative burden. There is no cash outgo at the company,” CFO PB Balaji said.
Holders will need to convert their ADS into underlying ordinary shares by July 2023 as Tata Motors expects to file deregistration with the SEC in January 2024.
Tata Motors’ ADR opened 5.62% down on NYSE on Wednesday, following the announcement.