Context:
Tata Capital’s board approved the IPO to consist of 23 crores shares for a fresh issue and stake sales from existing shareholders.
Key Highlights:
- Expected IPO size: $1.7 billion, among the largest IPOs in the year 2025.
- Full compliance with the RBI mandate: Listing of upper layer NBFCs is a must by September 2025.
- The second Tata Group IPO within two years is Tata Technologies, which was listed in December 2023.
- Other big IPOs in the pipeline include LG India ($1.5B), JSW Cement, and Ather Energy.
Regulatory Issues & Listing Aspects
- Based on the RBI mandate, Tata Sons’ ought to be listed by September 2025, however, they have since got deregistration from the mandate.
- In January, RBI responded that the request is under “examination.”
Tata Capital’s impending IPO constitutes a vital market event conforming to the financial strategy of the Tata Group. Currently under huge interest and scrutiny, this IPO would provide weight to Tata Capital’s capital base and change the way Tata Sons think in the future.
