tata takeover rumour

First the tata has raised capital

"The Times of India — October 6, 2006
Tata Steel has received approval from shareholders for raising Rs 6,500 crore from the international or the domestic market through the issue of securities. The proposal to raise funds through the issue of ordinary shares, shares through depository receipts, securities with or without detachable, non-detachable warrants or other securities, was approved by the shareholders at the AGM held in July.

The domestic steel major on Thursday informed the Bombay Stock Exchange that it had also received the shareholders' nod for a borrowing limit of Rs 20,000 crore, subject to necessary provisions and approvals. An increase in the company's authorised share capital from Rs 850 crore to Rs 2,000 crore was approved at the meeting and the shareholders also consented to re-appoint Ratan Tata, Suresh Krishna and Isaat Hussain as directors of the company."

Second, they have said they interested in Corus AMONGST OTHERS

"Tata Steel, part of the sprawling Tata conglomerate whose interests include cars, telecommunications, software consulting, hotels and consumer goods, said Thursday it was considering a bid for Anglo-Dutch rival Corus (nyse: CGA - news - people ), illustrating the pressure the steel industry feels to consolidate.

Tata stressed that a bid for Corus, which was formed in 1999 through the merger of British Steel and Hoogovens, was only one of the options it was considering and there was no certainty an approach would be forthcoming. Even so, investors loved it. The announcement sent shares at Corus up 12.52%, to 458.5 pence ($8.61), in London. "

bought into do some dividend stripping now in front.