1. Karabash A.K. MND-31

2. Tata Group is an Indian multinational conglomerate holding company headquartered in Mumbai, Maharashtra, India. It was founded in 1868 by Jamshedji Tata and gained international recognition after purchasing several global companies. It is India's largest conglomerate.

3. The Tata-Mistry relationship, 1936-2016 The Tata-Mistry relationship is perhaps best described Facebook style: It's complicated. Cyrus Mistry's family and the Tatas have at times been friends, and at other times frenemies since the time Cyrus's grandfather Shapoorji Mistry acquired a sizable stake in Tata Group's main holding company, Tata Sons in 1936. Tata Sons is currently one of India's richest privately held companies. Mistrys' 18.5% stake in Tata Sons is worth billions of dollars, and Tatas may find it an uphill task to buy them out, just as they have found it in the past. Tata Sons is the holding company of hundreds of unlisted and nearly 30 listed companies. The listed companies alone are valued at about Rs 8.3 lakh crore (about $125 billion). Going by the value of only the listed companies within the Tata fold, the 18.5% stake held by the Mistry family would be worth about $23 billion.

4. Shapoorji had acquired Tata Sons shares from the heirs of eminent financier FE Dinshaw in 1936, seven years after Cyrus' father was born. Dinshaw had lent nearly Rs 1 crore to Tata Sons to finance its power unit in 1926 but the latter couldn't repay the amount and, subsequently, the loan got converted into 12.5% stake of Tata Sons. Later, Shapoorji bought some more shares from JRD Tata's siblings, thus increasing his stake to 18.5%.

6. Cyrus Mistry’s shares in TCS, other Tata companies Cyrus Mistry, the ousted chairman of Tata Sons, holds nearly Rs 1,000crore worth of stocks of Tata Consultancy Services (TCS), the crown jewel within the Tata Group, the software major's annual report showed. Mistry also holds small stakes in other group companies -Tata Motors, Indian Hotels, Tata Global, Tata Chemicals and Tata Power - company filings showed. He's still the chairman of all these and some other group companies. The stocks owned by Mistry is in addition to the 18.5% stake that his family, Shapoorji Pallonji (SP) Group, holds in Tata Sons, the Tata Group's holding company.Going by the value of stakes held by Tata Sons in the group's listed entities, and calculating SP group's stake on a pro-rata basis, the worth of SP Group's holding on November 1 was Rs 81,140 crore. Of this, SP Group's stake in TCS itself is worth Rs 63,158 crore, that is more than three-fourths of the total value. Other companies which contribute substantially to the value of holding by Mistry's family in Tata Sons are Tata Motors (Rs 7,983 crore), Tata Communications (Rs 1,500 crore), Tata Steel (Rs 2,279 crore), Titan (Rs 1,281 crore) and Tata Power (Rs 1,234 crore).

7. Other than direct holding in 15 listed companies, Tata Sons has indirect control over several other listed companies in which it holds stakes through group companies. For example, Indian Hotels holds controlling stake in Oriental Hotels and Benares Hotels, while Tata Steel controls Tata Sponge Iron and Tata Chemicals holds majority stake in Rallis India. Tata Group also holds majority stakes in several unlisted companies through Tata Sons, which have not been valued.

11. Tata Group's overseas takeovers (as in 2006) The acquisitions have meant that 30 per cent of the group's revenues today come from overseas operations. Following are the major acquisitions by Tata Group companies in the past few years: Tata Tea acquires 30% in US' Glaceau (Energy Brands) in August 2006 for $677 mn Tata Tea buys 33 per cent in South African tea company Joekels through its subsidiary Tetley Group Tata Tea acquires US-based Eight'O clock coffee company for $220 mn (Rs 1,050 cr) in June 2006 Tata Chemicals picks 63.5% in UK's Brunner Mond Group for Rs 508 crore in December 2005

12. Tata Steel acquires Millennium Steel of Thailand in December 2005 for $404 mn (Rs 1,800 crore) TCS buys out Chilean BPO firm Comicorn for $23 mn (Rs 107.02 crore) in November 2005 TCS acquires Sydney-based FNS in October 2005 Tata Technologies purchases INCAT International, UK in October 2005 for $91 mn (Rs 411 crore) Tata Tea acquires Good Earth Corp in October 2005 for around $32 mn Tata Auto Comp (TACO) takes over German auto components maker Wundsch Weidinger VSNL acquires Teleglobe International in July 2005 for $239 mn Tata Steel buys Singapore's NatSteel in August 2004 for over Rs 1,300 crore. VSNL takes over Tyco Global Network for $150 mn (Rs 690 crore) Tata Chemical acquires Moroccan company Indo-Maroc Phosphore for Rs 166 crore Tata Motors picks 21% stake in Spain's Hispano Carrocera for Rs 70 crore Tata Tea buys Tetley, UK in February 2000 for Rs 1,870 crore Tata Motors takes over Daewoo Commercial Vehicle Company of Korea in March 2004 for Rs 459 crore.

13. Acquisitions Tatas to pay $12 bn (Rs 54,000 crore) to acquire Corus at 608 pence (Rs 526 ) per share, which is about 34% higher than its original offer of 455p (Rs 389) made on October 20. It’s also 70% higher than Corus’s average share price over the year prior to the original Tata offer. Tata Steel’s share price, at the end of trading on Jan 31 (Wed) is about 9% down from when it made the first offer while Corus’ is up 27% Tata Steel shareholders have lost, at least in the short-term, while Corus shareholders have gained big-time with shares at seven-year high.

14. Where will the money come from Of the $12bn, $4.1 bn will be pumped in as cash through the equity route by Tata Steel. The rest will be in the form of debt raised from three banks, ABN Amro, Credit Suisse & Deutsche Bank. The equity will be bridge financed. Market is not happy CLSA, one of the largest foreign brokerage houses in India, has put a ‘sell’ advice on Tata Steel, saying it had paid too much for Corus. Tata Steel stock closed almost 11% lower at Rs 464 from Tues closing

15. The Dangers Tatas have paid a heavy price. The final offer is nine times Corus’ earnings before interest, tax, depreciation and amortisation (EBIDTA), while Mittal paid less than five times Arcelor’s earnings It now needs to service a very large debt burden Integration can be a problem in such acquisitions, because of both distance and culture. It’s by far the biggest takeover in the history of India Inc 2nd biggest acquisition in global steel, behind Mittal’s Steel’s $38.3bn takeover of Arcelor last year. Lifts Tata Steel from 56th to 5th in global steel sweepstakes with combined revenue of $24.4bn. Two of the top 5 are now in Indian hands; Lakshmi Mittal’s Mittal-Arcelor is No. 1

16. Tatas overtake the Mukesh Ambani-Reliance Group to become India’s largest business house. Revenues vault from Rs 70,509 cr last year to Rs 148,885 cr, compared to Reliance’s Rs 88,965 cr. Combined m- cap, at Rs 299,075 cr, is higher than Reliance’s Rs 228,677 cr. When we first talked about acquiring Corus, many thought it was an audacious move for an Indian company to make a bid for a European steel company much larger than itself. That was something which had not happened before...This will be the first step in ensuring that Indian industry can step outside the shores of India in an international market and acquit itself as a global player.

17. On 2014, shares of Tata Motors closed at Rs.377.60, down 3.46%, and those of Tata Steel closed at Rs.251.40, down 5.17%. The benchmark Sensex was down 1.96% to 27,561.38. points

18. Crisis Management In February 2009, the State Bank of India reduced interest rates on loans related to new automobile purchases. A downturn in automobile production compared to 2008 contributed to the bank’s decision to lower interest rates. For the first few months of 2009, Tata Motors conducted a widespread marketing campaign leading up to the debut of the Tata Nano automobile. The low cost of the Nano, billed as “the people’s car,” is part of the company’s strategy to improve automobile sales impacted by the credit crisis.

20. Thanks for your attention!