The Board of Tata Chemicals Limited met on August 13, 2001 to consider buyback of a portion of Company’s shares.

The Company’s Board recommended buyback of upto 15% of the share capital of the Company at a price of upto Rs. 60 per share, involving a maximum cash outflow of Rs. 162.58 crores. The Company’s total subscribed capital comprises of 18,06,38,651 shares of Rs. 10 each.

Further the Board recommended adoption of the Open Market Route for the buyback through the Stock Exchange(s).

Under the recently enacted regulations the buyback of shares requires approval of the Shareholders by way of a special resolution passed through postal ballot and the Company will take necessary steps to fulfill this requirement. The Shareholders approval would be valid for a period of 12 months for carrying out the buyback. The implementation of the buyback scheme will be decided by the Company’s Board at an appropriate time, after the requisite approvals and taking into account other relevant factors.

The company’s share closed at Rs. 41.40 on 13th August 2001 on Bombay Stock Exchange. The maximum price recommended by the Board of Directors for buyback is at 45% premium on the aforesaid price.