New Delhi: Tata Group is planning to raise $2 billion via IPO route for its unit Tata Capital with investment bankers starting discussions on the subscription. Kotak Investment Banking is reportedly leading the discussions. The salt-to-airline conglomerate is likely to finalise bankers for the public issue by January 2025 to adhere to the Reserve Bank of India’s guidelines related to upper-layer NBFCs, the ET reported, citing people familiar with the matter.
The central bank directed multiple upper-layer NBFCs to list their shares in line with regulatory requirements. Tata Sons and Tata Capital were named in the list with a September 2025 deadline to list their stocks. Tata Sons owns a 93 per cent stake in Tata Capital.
Tata Group IPOs
Subject to materialisation, Tata Capital IPO will be the second IPO from the Tata Group in this decade. Tata Group listed Tata Technologies on the exchanges in 2024. The group also raised Rs 5,000 crore by taking It giant TCS public, according to regulatory requirements.
Tata Capital unlisted shares
Shares of Tata Capital witnessed robust demand in the unlisted equities market priced at Rs 1,100 in April 2024, up from Rs 450 in December 2023, the ET reported. Tata Capital unlisted shares are quoting a price of around Rs 900 apiece. At this rate, the company will be valued at Rs 3.5 lakh crore with 3.74 billion shares as of FY24.
All about Tata Capital
Tata Group’s financial services and lending businesses are housed under the Tata Capital brand. Key businesses held by this comoany include Tata Capital Financial Services, Tata Housing Finance and Tata Cleantech Capital apart from Tata Capital Singapore. Tata Capital also houses a private equity firm. Tata Capital’s revenues rose to Rs 18,1878 crore at the end of March 31, 2024, up 34 per cent year-on-year. Tata Capital’s net profit rose 12 per cent year-on-year to Rs 3,315 crore during the same period.
(Disclaimer: This article is only meant to provide information. News9live.com does not recommend buying or selling shares or subscriptions of any IPO and Mutual Funds.)
The Tata Group is reportedly tapping investment bankers to advise the group on its plans to take Tata Capital public in line with RBI’s regulatory requirements for upper layer NBFCs. Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
