How much will be the price of a share of Tata Capital IPO? Here is the answer to every question

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The issue price of Tata Capital IPO has been fixed at Rs 326 to 326.

The IPO of Tata Capital, the largest IPO of the country’s largest business house Tata Group, is standing at the door. A few days ago, the Tata Group filed its documents to SEBI. In which the date of the IPO was revealed. Also, more important information was given. Now a big update has come out about the issue price of this IPO. The special thing is that the price of a share of this company has not been estimated at Rs 350.

In such a situation, you can guess how great enthusiasm is going to be among the retail investors regarding this stock. On the other hand, the tental date of the lot size and listing of the issue has also been revealed. This means that before Diwali, the investors of the country can earn a hefty money from the stock market. Let us also tell you what kind of information has come out with the IPO of Tata Capital.

Issue price of Tata Capital IPO

The price band of Tata Capital’s IPO has been fixed at Rs 310 to 326 for each share with a face value of Rs 10. Tata Capital IPO will open on Monday, October 6. On Wednesday, October 8, it will be closed. Anchor investors for Tata Capital IPO will be allocated on Friday, 3 October. Tata Capital IPO’s lot size is of 46 equity shares and after that 46 equity shares will be available in multiple.

Tata Capital IPO has not reserved more than 50% shareable institutional buyers (QIBs) in public issue, less than 15% non-institutional institutional investors (NIIs) and less than 35% share for retail investors. Up to 1,200,000 equity shares have been reserved for the working class.

The allocation of shares of Tata Capital IPO will be decided on Thursday, October 9 and the company will start the refund on Friday, October 10, while the shares will be deposited in the demat account of the allottees on the same day after the refund. Tata Capital shares are likely to be listed on BSE and NSE on Monday, October 13.

Important information of Tata Capital IPO

  1. The proposed IPO includes 47.58 crore shares, including a new issue of 21 crore equity shares and OFS of 26.58 crore shares. This is the second major IPO of the group in the last two years.
  2. This is going to be the biggest IPO of Tata Group so far. The total decoration of which is said to be Rs 16,400 crore. Last time the IPO of Tata Investment came in the market.
  3. Under OFS, Tata Sons will sell 23 crore shares, while International Finance Corporation (IFC) will sell 3.58 crore shares. Currently, Tata Sons holds an 88.6 per cent stake in Tata Capital, and IFC holds a 1.8 per cent stake.
  4. The amount raised from the IPO will be used to increase the company’s Tier-1 capital, which will meet future capex requirements including loan activities.
  5. The Tata Capital IPO is being done as per the Reserve Bank of India (RBI) required under which high-level non-banking financial companies (NBFCs) are required to be listed within three years of their classification. In September 2022, Tata Capital was classified as a high-level NBFC.
  6. The IPO of Tata Capital included Axis Capital, Kotak Mahindra Capital Company, BNP Pariba, HDFC Bank, HSBC Securities and Capital Markets (India) Private Limited, Citigroup Global Markets India Private Limited, ICICI Securities, IIFL Capital Service and J. Are.

How Tata Capital works

Non-Banking Finance Company, Tata Capital has given service to more than 70 lakh customers till 31 March. With more than 25 loan options, the company meets the needs of various customers, including employed person, self -employed workers, entrepreneurs, small enterprises, SMEs and large companies.

In addition to giving loan, Tata also distributes third-party products such as capital insurance and credit cards, provides fund management service, and serves as a sponsor and investment manager for private equity funds.

According to Red Herring Prospectus (RHP), the company’s listed competitive Bajaj Finance Limited (with P/E of 37.8), Sriram Finance Limited (with P/E with 300.3), Cholamandalam Investment and Finance Company Limited (with 31.5 K P/E), L&T Finance Limited (with P/E) P/E. Sundaram Finance Limited (with P/E of 26.9), and HDB Financial Services Limited (with P/E of 28.1).

In FY 2024-25, Tata Capital announced a PAT of Rs 3,655 crore, which is more than Rs 3,327 crore to FY 24. Additionally, its revenue in FY 25 increased significantly to Rs 28,313 crore, compared to Rs 18,175 crore last year.

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