Mumbai: Tata Power will sell close to 40 per cent in Panatone Finvest (a Tata Sons subsidiary) and 4.7 per cent of its stake in Tata Communications for an aggregate sum of Rs 2,155 crore.

In a regulatory filing with the bourses, Tata Power said it would be selling over 59 crore shares in Panatone Finvest, which represent around 39.98 per cent, to Tata Sons for Rs 1,542.61 crore. It will also sell a 4.7 per cent stake in Tata Communications to Panatone for Rs 613.46 crore.

For the quarter ended December 31, 2017, Tata Power held over 1.34 crore shares in Tata Communications. Though it is not clear as to what Tata Power will do with the proceeds, it could be used to trim debt.

Tata Power explained that following a shareholders' agreement entered on February 13, 2002 among the government, Panatone, and four other entities in the Tata group, the surplus land assets of Tata Communications have to be demerged into a separate entity.

Further, the respective shareholders have an obligation to transfer their proportion of the shareholding of the demerged land entity without consideration to the government and other sellers who had tendered shares of Tata Communications in an open offer made by Panatone.

Meanwhile, Tata Power has appointed Praveer Sinha as its chief executive officer and managing director with effect from May 1 2018. Sinha is now the CEO & managing director of Tata Power Delhi Distribution.

TaMo post

Tata Motors on Friday said it had appointed Rajendra Petkar as the chief technology officer and a member of the executive committee.

Petkar will take charge effective April, 1 2018, Tata Motors said in a statement. He has been officiating in this role since November 2017, after his predecessor Tim Leverton decided to quit the company last year.