On Saturday evening, Tata Motors shared the news that its subsidiary, Tata Technologies, has determined the offer price, which includes the anchor investor offer price, for its upcoming Initial Public Offering (IPO) at ₹500 per equity share.
Tata Technologies IPO
Over the weekend, Tata Motors made an announcement about its subsidiary, Tata Technologies. The company has now concluded the pricing details for its upcoming Initial Public Offering (IPO). The set price, which encompasses the anchor investor offer price, has been fixed at ₹500 per equity share. This move marks a significant step in the IPO process for Tata Technologies.
The IPO, with a total value of ₹3,042.5 crore, saw an impressive subscription of 69.43 times on the final subscription day this Friday. The overwhelming interest was largely driven by active participation from institutional buyers. It’s worth noting that this IPO centres around digital services related to engineering and product development.
Tata Motors, in a regulatory filing, announced that Tata Technologies Ltd, in collaboration with the lead managers to the IPO, has settled the offer price at ₹500 per equity share, including the anchor investor offer price. This comes after the public issue had a price band ranging from ₹475 to ₹500 per share. With the Tata Technologies IPO wrapping up on Friday, the allotment of shares is anticipated to take place next Tuesday, the 28th of November 2023, given the market closure on the weekend. Furthermore, the IPO listing for Tata Technologies is likely scheduled for the 30th of November 2023, a Thursday.
The details shared indicate that the initial public offering (IPO) is valued at ₹3,042.51 crore. This comprises the sale of 4.63 crore equity shares by Tata Motors, amounting to ₹2,313.75 crore, the sale of 97.17 lakh equity shares by Alpha TC Holdings Pte Ltd, totaling ₹485.84 crore, and the sale of 48.58 lakh equity shares by Tata Capital Growth Fund I, amounting to ₹242.92 crore. It’s crucial to highlight that these amounts are subject to the finalization of the basis of allotment, as mentioned in the filing.
Notably, Tata Technologies’ IPO garnered bids for 312,649,1040 shares, surpassing the 450,292,207 shares on offer, according to NSE data.
This IPO stands as a significant milestone, being the first from the Tata Group in nearly two decades, with Tata Consultancy Services being the last to go public in 2004.
In simpler terms, the IPO is valued at Rs 3,042.51 crore. This includes the sale of 4.63 crore equity shares by Tata Motors, totalling Rs 2,313.75 crore, the sale of 97.17 lakh equity shares by Alpha TC Holdings Pte Ltd, amounting to Rs 485.84 crore, and the sale of 48.58 lakh equity shares by Tata Capital Growth Fund I, totalling Rs 242.92 crore. It’s important to note that these figures are subject to the finalization of the basis of allotment, as mentioned in the filing.