Tata Steel lifts CPDPL stake to 57.5% by converting preference shares
- Mergers & acquisitions
- Steel And Steel Products
Reviewed byKeshav SehgalBlacklitt Research
Tata Steel (NSE: TATASTEEL) completed the acquisition of 38,222 equity shares of Creative Port Development Private Limited (CPDPL), a subsidiary, through conversion of preference shares on 7 Nov 2026, lifting its stake from 51% to 57.5%, it said in a filing on 07 Nov 2026.
What changed in CPDPL's share capital
The change is in Tata Steel's equity stake in CPDPL, which it already held as a subsidiary. On 7 Nov 2026 the company acquired 38,222 equity shares of ₹10 each in CPDPL by converting 25,10,830 optionally convertible redeemable preference shares of ₹100 each, at 1 equity share for every 65.69 preference shares. The equity stake rose from 51% to 57.5%, a gain of 6.5 percentage points, and CPDPL remains a subsidiary.
The fractional entitlement of 0.41 shares was settled in cash, with ₹6,876.11 provided by CPDPL to the company. After the conversion Tata Steel holds 1,65,722 equity shares, or 57.5%, and 1,97,00,000 preference shares, which is 100% of that class. The company says the acquisition is in compliance with applicable laws, and no governmental or regulatory approval is needed.
How CPDPL fits the group
CPDPL is developing a port project through its subsidiary, Subarnarekha Port Private Limited, and is a related party of Tata Steel. Its turnover was nil in each of FY2023-24, FY2024-25 and FY2025-26, while its other income was ₹4.40 crore, ₹3.67 crore and ₹3.69 crore over the same years.
For FY2025-26 CPDPL reported a profit after tax of ₹0.31 crore and a net worth of ₹222.01 crore. On 3 Nov 2026 Tata Steel reported a separate step, the effective date of a scheme of amalgamation with its wholly owned subsidiary Rujuvalika Investments.
What the conversion means for Tata Steel's shareholders
For the company, the change is a larger equity holding in a subsidiary it already controls, with CPDPL's ownership moving from 51% to 57.5%. Not stated: the reason for holding the stake as preference shares and converting it now, any price paid beyond the conversion terms and the fractional cash settlement, the plans for CPDPL's port project, and the effect on the company's results.
At a glance
| Item | Detail |
|---|---|
| Subsidiary | Creative Port Development Private Limited (CPDPL) |
| Date of conversion | 7 Nov 2026 |
| Equity shares acquired | 38,222 of ₹10 each |
| Preference shares converted | 25,10,830 OCRPS of ₹100 each |
| Conversion ratio | 1 equity share for every 65.69 OCRPS |
| Stake before and after | 51% to 57.5% |
| Fractional cash settlement | ₹6,876.11, provided by CPDPL |
| Stated business | Development of a port project |
Filed with BSE on . Reference: Original filing (PDF)
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