Tata Capital is reported to launch its much-anticipated $2 billion initial public offering (IPO) in the first half of October. The Reserve Bank of India (RBI) has granted an extension to the Tata Group led NBFC to list its shares on the bourses, reported PTI citing sources familiar with the matter.
The previous timeline for its stock market debut was expiring on September 30.
The company is eyeing $2 billion, or around Rs 17,000 through its maiden public offering at a valuation of $18 billion (around Rs 1.5 lakh crore). This is a sharp jump from the $11 billion valuation ascribed when Tata Capital filed confidential IPO papers earlier this year, in April 2025.
Tata Capital’s IPO shall be another mega offering, making it perhaps the fourth biggest issue, lagging the likes of Hyundai Motor India (Rs 27850 crore), Life Insurance Corporation of India (Rs 20,550 crore) and One97 Communications (Rs 18,300 crore).
RBI has allowed for an extension to Tata Capital due to procedural reasons, reported PTI citing a source. Large IPOs often see such extensions. For instance, NSDL’s Rs 4,000-crore IPO was given an extension from SEBI for over four months before the offering finally opened in July.
According to the updated DRHP filed by the company in August 2025, the IPO of Tata Capital will comprise a fresh issue of up to 21 crore equity shares and an offer for sale (OFS) of up to 26.58 crore shares, totalling 47.58 crore shares. Promoter Tata Sons will divest up to 23 crore shares, while International Finance Corporation (IFC) will offload up to 3.58 crore shares.
According to the dealers of the unlisted markets, Tata Capital may issue its shares around Rs 350-380 apiece during the IPO. Even the projections calculated based upon the reported issue size and share offered the same. This is based on Tata Capital raising Rs 17,000-18,000 crore via its primary offering.
However, the stock is currently trading at Rs 750-775 per share in the pre-IPO market, suggesting that IPO is likely to be launched at around 50 per cent discount from the unlisted market levels. The stock has corrected more than 30 per cent from the its peak around Rs 1,100 on the last few weeks.
Proceeds from the fresh issue will be deployed to augment Tier-I capital and fuel lending growth. The company board of Tata Capital announced to raise Rs 1,751.85 crore in June 2025 via rights issue by offering 5,10,74,292 equity shares at an issue price of Rs 343 apiece. The rights issue opened on July 4 and concluded on July 13.
This IPO, if successful, will become the largest public issue in India’s financial sector. It will also mark the Tata Group’s second public listing in recent years, following the debut of Tata Technologies in November 2023. The IPO is being undertaken in line with the RBI’s listing mandate for upper-layer NBFCs, which requires listing within three years of classification.
Tata Capital recently wrapped up a series of investor roadshows across major global financial hubs including Hong Kong, Singapore, London, New York, and key Indian cities. The roadshows, launched in August, drew strong participation from both global and domestic institutional investors.
Tata Capital delivered strong financials in Q1FY26, reporting a net profit of Rs 1,041 crore, more than double the Rs 472 crore earned a year earlier. Total income climbed to Rs 7,692 crore from Rs 6,557 crore in the June 2024 quarter.