In a significant move after almost two decades, the Tata Group is set to launch its initial public offering (IPO) on November 22, marking its return to the primary market. The IPO, structured as an offer-for-sale (OFS), is a milestone for the conglomerate and comes 19 years after the successful launch of Tata Consultancy Services (TCS) in 2004.
According to an exchange filing on November 13, Tata Technologies Limited informed the public about the filing of the Red Herring Prospectus (RHP) on Monday, November 13, 2023. The IPO is an Offer For Sale of up to 60,850,278 equity shares, comprising offerings by the Company, Alpha TC Holdings Pte. Ltd., and Tata Capital Growth Fund I. These represent up to 11.41%, 2.40%, and 1.20%, respectively, of the paid-up Equity Share Capital of Tata Technologies Limited.
The IPO also includes a reservation of up to 6,085,027 Equity Shares (10% of the Offer) for subscription by eligible shareholders of Tata Motors Limited (TML), including individuals and Hindu Undivided Families (HUFs) who are public equity shareholders. This reservation is applicable to those holding Ordinary Shares and ‘A’ Ordinary Shares in TML as of the RHP filing date, which is Monday, November 13, 2023.
Tata Technologies IPO Subscription Details:
- Opening Date: Wednesday, November 22, 2023
- Closing Date: Friday, November 24, 2023
Tata Technologies Limited, a subsidiary of Tata Motors Limited, had previously filed a draft red herring prospectus (DRHP) on March 9, 2023, with the Securities and Exchange Board of India (SEBI) for the IPO.
On a related note, on November 2, Tata Motors reported a consolidated net profit of ₹3,783 crore for the September quarter, attributing the positive results to the robust performance of its British arm, Jaguar Land Rover. This marked the fourth successive quarter of positive results for the Indian auto major.
