Tata Motors on Wednesday said it plans to delist its American Depositary Shares (ADS) from the New York Stock Exchange (NYSE) after January 2023 and terminate its ADS program.
The company said it has notified the NYSE on Wednesday of its intent to voluntarily delist its ADS, each representing its five ordinary shares.
In a filing to exchanges, the company said since the ADS were issued in 2004, it has witnessed a considerable increase in liquidity and foreign shareholder participation in the equity stock markets in India.
“The company has further considered the consistent drop in the number of ADSs outstanding as a percentage of its outstanding ordinary shares. Therefore, the rationale for ADS listing in the United States has significantly diminished,” as per the filing.
This will help simplify the company’s financial reporting requirements and reduce administrative costs. Upon delisting of its ADSs, it will concentrate…
