Mumbai: Tata Capital has announced the price band for its upcoming IPO (Initial Public Offering), which is set between Rs 310 and Rs 326 per equity share. Each share has a face value of Rs 10. This IPO is an important step for the company as it works to meet regulatory requirements and raise funds for future growth.
IPO Dates and Subscription Details
The Tata Capital IPO will open for public subscription on Monday, October 6, and close on Wednesday, October 8. The anchor investor portion will be allotted earlier, on Friday, October 3.
The lot size for the IPO is 46 equity shares, and investors can bid in multiples of 46 shares thereafter.
The price band is based on 31.0 times (floor price) and 32.6 times (cap price) of the face value.
Share Allocation and Categories
The IPO reserves:
- Not more than 50 percent for Qualified Institutional Buyers (QIBs)
- At least 15 percent for Non-Institutional Investors (NIIs)
- At least 35 percent for Retail Investors
- Up to 12 lakh shares for employees
Allotment and Listing Timeline
Allotment of shares: October 9
Refunds initiation: October 10
Shares credited to demat accounts: October 10
Listing on BSE and NSE: October 13 (expected)
IPO Size and Offer Breakdown
The total IPO size is 47.58 crore shares, including:
- 21 crore shares (Fresh Issue)
- 26.58 crore shares (Offer for Sale)
- In the Offer for Sale (OFS),
- Tata Sons will sell 23 crore shares
- International Finance Corporation (IFC) will sell 3.58 crore shares
- Tata Sons currently holds 88.6 percent of Tata Capital, and IFC holds 1.8 percent.
Purpose of the IPO
The money raised from the fresh issue will be used to strengthen Tata Capital's Tier-1 capital, which supports its future lending and expansion plans.
This IPO is also being done to comply with the Reserve Bank of India's rule that requires 'upper-layer' NBFCs to be listed within three years of being classified. Tata Capital received this classification in September 2022.
Lead Managers for the IPO
The IPO is managed by a group of top financial institutions including Axis Capital, Kotak Mahindra Capital, BNP Paribas, HDFC Bank, HSBC, Citigroup, ICICI Securities, IIFL, SBI Capital, and J.P. Morgan.
About Tata Capital
Tata Capital is a major Non-Banking Financial Company (NBFC) that has served over 7 million customers by March 2025. It offers over 25 types of loans to individuals, entrepreneurs, small businesses, and large companies.
It also provides services like insurance distribution, credit cards, wealth management, and manages private equity funds.
In FY25, Tata Capital posted a profit of Rs 3,655 crore, up from Rs 3,327 crore in FY24. Revenue also rose sharply to Rs 28,313 crore from Rs 18,175 crore the previous year.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Please consult a certified financial advisor before making any investment or trading decisions.
