TCS Share Price dipping since Ouster of Cyrus Mistry

TCS share price closed down 2.2 per cent at Rs. 2142 valuing the firm at Rs.4,22,095 cr. India’s largest software exporter lost more than Rs.56,000 cr in the last twenty-five days since Tata Sons ousted Cyrus Mistry as the chairman leading to a series of allegations and counter-allegations from both the sides.

In the last 25 days, TCS share price has slumped 310 points from Rs.2434 to Rs.2125. On Wednesday, 15th November, TCS shares touched a new 52-week low. The very next day on 16th of November, the stock witnessed a spurt in volume of more than 3.21 times.

TCS -Tata Consultancy Services, India’s most valued firm and Tata Group’s jewel Crown has made a decision to convene an EGM – extraordinary general meeting on 13th December to approve a resolution for removal of Mistry as director of the firm even as the ousted Cyrus Mistry, Tata Sons chairman, skipped the board meeting.

The TCS board meeting held on Thursday morning was chaired by freshly appointed Chairman Ishaat Hussain at TCS House in Mumbai as Tata Sons, the parent company with 73.36% stake nominated group veteran Ishaat Hussain as the chairman of the board to replace Mistry last week.

TCS in an official statement in the evening said that EGM seeking Cyrus Mistry’s removal will be held on Tuesday, 13th December, 2016, at 3:30 p.m. in Mumbai. J.N. Gupta, co-founder and managing director (MD) of Stakeholder Empowerment Services believes that TCS EGM would be a cakewalk for Tata Sons, given its massive stake of 73%. Mr. Gupta told the media that TCS would now issue notice to all the shareholders, which was likely to have proper explanation from Tata Sons reasoning for removal of Mistry as director. TCS would be easiest of easy EGM for Tata Sons, given it held over 73 per cent stake, he added. He further added that after the voting on December 13, it would be clear who stood where as in whom the institutional investors voted for. This was because the mutual funds would have to disclose their voting pattern after 31st December, Gupta concluded.

Ishaat Hussain along with managing director (MD) of TCS and chief executive officer (CEO) N Chandrasekaran – left for group headquarters Bombay House for Tata Sons’ board meeting late in the afternoon.For more details and updates on the TCS stock, its fundamentals, financials, support and resistance levels, please visit TCS share price history.