Shares in Tata Investment Corporation, a part of the Tata Group, went up by 8% on Tuesday! Why? Because there are reports that Tata Group is planning to bring Tata Capital public with a big $2-billion Initial Public Offering (IPO).
Tata Group has given its approval to Kotak Investment Banking to start this process after a meeting. They also plan to hire more bankers by January! According to the Reserve Bank of India, Tata Sons and Tata Capital must become publicly listed before September 2025. Tata Sons owns about 93% of Tata Capital.
In the unlisted market, Tata Capital’s share price has jumped significantly, from Rs 450 last December to Rs 900 now. This puts the company’s value at Rs 3.5 lakh crore, based on 3.74 billion shares by the end of the financial year 2024.
If everything goes well, this will be the first public offer from Tata since Tata Technologies, which caught a lot of attention from investors. Tata Capital shares are in high demand even in the unlisted market, with prices above Rs 1,100, according to reports.
Tata Capital is an important financial company in the Tata Group and is part of Tata Sons. It offers various financial services like loans, wealth management, and more.
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