Tata Motors board to consider raising Rs 500 crore via securities this week

The country’s leading automobile company Tata Motors may bring a big news for its investors and shareholders. The company may soon announce dividend. This decision will be taken in the Board of Directors meeting to be held on 13 May 2025. In this meeting, the audited results of the company for the fourth quarter (Q4 FY2025) and the full financial year 2024-25 will be approved. Also, the board will decide whether to recommend dividend for this financial year.Tata Motors has stated in an official notification that, “The Board of Directors of the company will meet on Tuesday, May 13, 2025, in which the audited financial results for the fourth quarter and full year of FY 2024-25 will be discussed and approved. Along with this, if deemed appropriate, a dividend will be recommended.” After this announcement, eyes are fixed on Tata Motors stocks in the stock market. Investors hope that the company can give a good dividend, especially when the company’s financial position has improved significantly in recent years.Currently, the dividend yield of Tata Motors is 0.45%, which is less than 1%. If the company pays dividend this time, it will be the first dividend announcement of FY2025. In the year 2024, Tata Motors gave a special dividend of ₹ 3 per share and a final dividend of ₹ 3. In 2023, the company gave a dividend of ₹ 2 per share.Apart from this, the company will hold another board meeting on May 2, 2025, in which a plan to raise up to ₹ 500 crore will be considered. This amount will be raised by issuing non-convertible debentures (NCDs) through private placement. However, the company did not say for what purpose this fund will be used.The record date can also be announced on May 13 to determine dividend eligibility. The record date is the date till which investors who hold the company’s shares are entitled to dividend. That is, if an investor buys Tata Motors shares before the record date, he will also be entitled to get the dividend.The news of dividend has further increased investors’ expectations. Last year, Tata Motors gave a dividend of ₹ 2 per share. Now it will be interesting to see whether the company increases the dividend this time or not. Looking at the company’s balance sheet and cash flow position, analysts believe that Tata Motors may announce a more attractive dividend this time.Talking on this topic, CEO of Gulshan Enterprises , Avnish Banswal said, “The board meeting of May 13, 2025 will not only give a glimpse of the financial performance of Tata Motors, but can also confirm investors’ expectations regarding dividend. If the dividend is announced, it will be a positive sign for the shareholders, which may further strengthen the stock of Tata Motors. In such a situation, all eyes are now on the important meeting to be held on May 13.”