Tata Sons, the holding company of the Tata Group, on Friday said the conglomerate is not looking to monetise investments to raise capital as businesses are in strong financial position with adequate cash flows.

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This comes after reports emerge that Tata Group companies have taken a huge hit due to nationwide lockdown and is struggling to allocate funds to stressed group companies.

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"Tata Sons is not looking to monetise its investments to raise capital. There are recent mis-informed and completely unfounded rumours regarding the Tata Group, in some sections of the print/social media," said N Chandrasekaran, chairman, Tata Sons in a media statement.

"These are malicious in their intent to undermine the performance of the Tata group and discredit the Chairman Emeritus, Mr. Ratan N. Tata. The Group is well poised to capture new opportunities and we are focused on navigating the current situation and profitable growth," the statement said.

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He said, "The Tata Group companies, like all other companies, are facing both challenges and opportunities arising out of the pandemic and resulting economic situation, based on the industries and markets they operate in."

The board of the $111 billion Tata Group is set to meet on Friday even as the group's businesses remain impacted due to the COVID-19 pandemic. The two businesses impacted the most by jitters in Europe have been Tata Steel and JLR.

Earlier, Chandrasekaran said Tata Group companies will enure full payment to temporary workers and daily wage earners for March and April even if they are unable to come to work due to quarantine measures or site closures amid the coronavirus outbreak.

Terming COVID-19 outbreak a major global crisis, Chandrasekaran said the nation needs collective efforts in these tough and uncertain times. “At the Tata Group, we have asked all of our companies to exercise extreme caution. The health and safety of our employees, their families and our suppliers, vendors and our larger ecosystem is of paramount importance,” he said.

First Published:Jun 5, 2020 5:59 PM IST