Tata Capital raised ₹4,642 crore from 135 anchor investors in its IPO, with LIC investing the highest amount of ₹700 crore. The IPO is set to open on October 6, with a price band of ₹310-326 per share. The issue comprises 21 crore fresh shares and 26.58 crore OFS (Offer For Sale) shares, which the company will use for its capital requirements and lending activities.
Tata Capital IPO: Tata Capital's IPO is scheduled to open from October 6, having secured subscriptions totaling ₹4,641.8 crore from 135 anchor investors. LIC emerged as the largest anchor investor, contributing ₹700 crore. The IPO's price band is set at ₹310-326 per share, with a lot size of 46 shares. The issue will comprise 21 crore new shares and 26.58 crore shares offered under Offer For Sale. Tata Capital plans to utilize the funds raised from this IPO to meet future capital requirements and for lending purposes. The shares are slated for listing on BSE and NSE on October 13.
Major Global and Domestic Investors
Several major global investors participated in the Tata Capital IPO. These include names like Morgan Stanley, Goldman Sachs, Citigroup, Amansa Holdings, Nomura, Government Pension Global Fund, WCM Investment Management, NFU Mutual Global Alpha Fund, Ashoka WhiteOak, Marshall Wace, Amundi Funds, Societe Generale, and Allspring Global Investments.
Additionally, 18 domestic mutual fund houses such as ICICI Prudential MF, HDFC AMC, Aditya Birla Sun Life AMC, DSP MF, Axis Mutual Fund, Kotak Mahindra AMC, Motilal Oswal AMC, UTI AMC, and Bandhan MF also acquired shares worth ₹1,650.4 crore. Insurance companies participating include SBI Life Insurance, HDFC Life Insurance, ICICI Lombard General Insurance, SBI General Insurance, Bharti AXA Life Insurance, Aditya Birla Sun Life Insurance, Canara HSBC Life Insurance, Navi General Insurance, and Reliance General Insurance.
IPO Price Band and Share Details
The price band for Tata Capital's IPO has been set at ₹310-326 per share. The lot size will be 46 shares. At the upper price band, the company is expected to raise approximately ₹6,846 crore from the fresh issue of shares. Meanwhile, the Offer For Sale (OFS) will amount to approximately ₹8,665.87 crore. The total IPO will consist of 47.58 crore shares, of which 21 crore will be new shares issued. Existing shareholders will sell 26.58 crore shares in the OFS.
In the OFS, Tata Sons plans to sell 23 crore shares, while the International Finance Corporation (IFC) is preparing to sell 3.58 crore shares. The IPO will close on October 8, and the allotment will be finalized on October 9. Subsequently, the shares will be listed on BSE and NSE from October 13.
Tata Capital's Financial Position
As of June 2025, Tata Capital's total gross loans stood at ₹2,33,400 crore. The company claims to be India's third-largest diversified NBFC (Non-Banking Financial Company). Its primary focus is on retail and SME customers. Loans extended to these customers constitute 87.5 percent of the company's total gross loans. In the April-June 2025 quarter, Tata Capital reported a net profit of ₹1,040.9 crore.
Utilization of Funds Raised from IPO
Tata Capital is a subsidiary of Tata Sons. The company will utilize the funds raised through the IPO to meet its future capital requirements, primarily involving its lending activities. Tata Sons holds a 92.83 percent stake in the company. The book running lead managers for the IPO are Kotak Mahindra Capital, BNP Paribas, and Citigroup Global Markets. The registrar is MUFG Intime India Pvt. Ltd.
Grey Market Premium
Following the IPO announcement, the Grey Market Premium (GMP) for Tata Capital shares has decreased. According to investorgain.com, the GMP is currently ₹13, down from ₹28 at the time the price band was announced. The grey market is an unauthorized market where a company's shares are traded until their official listing.
