Tata Motors’ DVR share price surged 18% on July 25, 2023, to ₹373.10, following the announcement of converting all of its DVR shares into equity shares on a one-for-one basis. DVR shares, which have one-tenth of the voting rights of regular equity shares, are a type of equity share that gives holders less voting rights than regular equity shares. The conversion of DVR shares into equity shares is a positive development for Tata Motors shareholders, as it will give them more voting rights and make them more equal stakeholders in the company.
The conversion is scheduled to take place on September 30, 2023, and shareholders who hold DVR shares will be issued one equity share for every DVR share they hold. This could lead to an increase in demand for Tata Motors DVR shares and a further rise in their price.Key points to remember about DVR shares include their less voting rights than regular equity shares, their increased voting rights, and their increased liquidity, which could lead to an increase in demand and price. Tata Motors shareholders should be aware of the conversion and its implications, and consider whether they want to convert their DVR shares into equity shares.