Tata Motors Shares Sink after Nano Setback

Investors react to the Indian carmaker's plan to move its low-cost Nano factory following violent protests in Singur

Tata Motors shares hit a 52-week low after the automaker decided to move the location of its low-cost Nano car making factory out of Singur following violent protests by farmers.

Announcing the pull-out of the two-year long troubled project in Singur, Tata Motors Chairman Ratan Tata said his company was looking at alternate sites in some states for rolling out Nano car by the promised deadline of December this year. Uttarakhand, Gujarat, Karnataka and Maharashtra are in the race for the project.

At 11:30 am, the company's shares recovered its losses and were trading 0.82 per cent higher at Rs 333.40 in a weak market after falling to a low of Rs 320.25.