Tata Investment Shares Surge Over 20% Ahead of Tata Technologies IPO

Tata Investment Corporation witnessed a remarkable surge of over 20% in its shares during Friday’s trading session, reaching ₹3,909.90 per piece. This surge comes in anticipation of the upcoming initial public offering (IPO) of Tata Technologies.

On Friday, Tata Investment shares opened at ₹3,270 per share, exceeding the previous close at ₹3,257. Tata Technologies, a subsidiary of Tata Motors and a promoter group entity of Tata Investment, is scheduled to go public on November 22.

Tata Investment Corporation, a non-banking financial company (NBFC), specializes in long-term investments, including equity and related securities. The NBFC holds stakes in various Tata Group companies such as Tata Chemicals, Tata Consumer Products Ltd, Trent, Tata Elxsi, Tata Steel, and TCS.

By 12:40 pm on Friday, over 13 lakh Tata Investment shares had been traded on stock exchanges, surpassing the one-week average of 52,000 shares.

Tata Investment stock has experienced an impressive gain of over 80% so far this year and has rallied over 350% in the last five years. The company has recorded positive returns in seven out of the last eight years.

Reports attribute the surge in Tata Investment’s stock to the recent appointment of new senior management personnel and a general manager.

Established in 1937, Tata Investment Corporation was promoted by Tata Sons Pvt Ltd under the name The Investment Corporation of India Limited.

Regarding Tata Technologies IPO, the price band has been set at ₹475 to ₹500 per equity share. The grey market has reportedly shown bullish sentiment toward the public issue, with shares of Tata Technologies Ltd commanding a premium of ₹367, marking a ₹117 increase from the previous day’s morning Grey Market Premium (GMP) of the book build issue. Observers note that the Tata Group is making a comeback to the IPO market after nearly two decades.