New Delhi: Shares of Tata Motors declined by nearly 4 per cent today after the company called an extraordinary general meeting (EGM) on December 22 to seek shareholders' approval for removing Cyrus Mistry and Nusli Wadia as directors of the firm.
After a weak opening, the stock further lost 3.93 per cent to Rs 452.85 on BSE. On NSE, it dipped 3.71 per cent to Rs 454. The stock was the worst performer among the bluechips on both Sensex and Nifty in morning trade.
Ousted from Tata Sons, Mistry continues to be Chairman of group firms like Tata Motors and Tata Chemicals. Tata Sons, the company's promoter with 26.51 per cent stake, had asked Tata Motors on November 10 to convene an EGM for passing a resolution for removal of Mistry and Wadia as directors.
In a board meeting held on November 14, independent directors of Tata Motors did not offer unanimous support to his leadership and instead backed all decisions taken by the company.
In a filing to the BSE yesterday, Tata Motors said the company's board at its meeting decided to convene an EGM "to consider and if thought fit, to pass an ordinary resolution for removal of C P Mistry and Nusli Wadia as directors of the company".