Thursday, March 12, 2009

TVS MOTOR CONVERTS LOAN TO SUBSIDIARY TO EQUITY

TVS Motor Company has converted a loan of Rs 18.50 crore that it gave to its wholly-owned subsidiary, Sundaram Auto Components Ltd, last year, into equity. TVS Motor announced to the stock exchanges that it would get 37 lakh equity shares in SACL at Rs 50 a share. Upon enquiry, it was learnt that TVS Motor is making no fresh investment; it is only a conversion of last years loan into equity.Sources said that SACL, which produces plastic and rubber components for automobiles, has also been hit by the slowdown and would find payment of interest difficult. Even if it could pay, the interest turns up as income in TVS Motors books, giving rise to an incidence of tax.TVS Motor also announced that Mr R. Ramakrishnan has joined the companys board of directors as a non-executive member of the board, filling a vacancy caused by the resignation of Mr Gopal Srinivasan. Mr Ramakrishnan was earlier a dealer of TVS Motor Company. He is on the board of PT TVS Motor Company Indonesia, TVS Motors arm in Indonesia
Posted by at
Labels:

No comments:

Post a Comment

Subscribe to: Post Comments (Atom)

Privacy policy

Google, as a third-party vendor, uses cookies to serve ads on your site.

Google's use of the DART cookie enables it to serve ads to your users based on their visit to your sites and other sites on the Internet.

Users may opt out of the use of the DART cookie by visiting the Google ad and content network privacy policy.

We use third-party advertising companies to serve ads when you visit our website. These companies may use information (not including your name, address, email address or telephone number) about your visits to this and other websites in order to provide advertisements about goods and services of interest to you. If you would like more information about this practice and would like to know your options in relation to·not having this information used by these companies, click here

Followers

Blog Archive