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Tata Motors’ shares drop 6.6 pct

October 9, 2009

Land Rover Freelanders are seen outside the Halewood Jaguar and Land Rover factory in Liverpool, northern England, in this October 27, 2008 file photoTata Motors, India’s largest commercial vehicle maker, ended the week on a disappointing note with its shares registering a drop of 6.6 percent.

The stocks declined 7.4 percent on the NSE.

Tata Motors was the top Sensex loser and also pulled the BSE Auto Index down 1.72 percent, making it the worst sectoral performer of the day.

The company on Friday said it has raised $750 million by issuing GDRs and convertible bonds to pay down debt taken on for its acquisition of JLR brands last year.

Investors have been rewarded quite well recently, with Tata Motors’ shares jumping over 200 percent since April, outperforming the 100 percent rise in the auto index during the same period.

Would you be optimistic about this stock now? Or do you think it can fall further?

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