Tata Sons-backed Tata Capital files updated draft papers with SEBI for IPO
The proposed IPO is a combination of a fresh issuance of 21 crore equity shares as well as an Offer For Sale (OFS) of 26.58 crore shares, according to the updated Draft Red Herring Prospectus (DRHP) filed on Monday (August 4, 2025).
Under the OFS, Tata Sons will offload 23 crore shares, and the International Finance Corporation (IFC) will divest 3.58 crore shares.
The funds mobilised through the issue will be used for augmentation of the company's Tier-1 capital base to meet future capital requirements, including onward lending. Tata Capital filed draft papers in April with the markets regulator Sebi for an IPO through a confidential pre-filing route and had received Sebi's approval in July. Following this, companies are required to file an updated DRHP before filing an RHP.
Sources had told PTI that the IPO size could be $2 billion, valuing the company at around $11 billion.
If successful, this IPO will be the largest initial share sale in the country's financial sector. It will also mark Tata Group's second public market debut in recent years, following the listing of Tata Technologies in November 2023.
This move is part of the company's efforts to comply with the Reserve Bank of India's (RBI's) listing requirements.
As per the RBI mandate, upper-layer NBFCs are required to list on the stock exchange within three years of being designated as such. Tata Capital was categorised as an upper-layer NBFC in September 2022. For the financial year 2024-25, Tata Group's financial services firm reported a PAT of Rs 3,655 crore as compared to ₹3,327 crore in FY24, and revenues surged to ₹28,313 crore from ₹18,175 crore. The issue is being managed by a consortium of book-running lead managers, including Axis Capital, Kotak Mahindra Capital Company, BNP Paribas, HDFC Bank, HSBC Securities and Capital Markets (India) Pvt Ltd, Citigroup Global Markets India Pvt Ltd, ICICI Securities, IIFL Capital Services, SBI Capital Markets, and JP Morgan India.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Economic Times
10 minutes ago
- Economic Times
Tata Investment shares rally 9% after board approves first-ever stock split
Tata Investment Corporation shares surged over 9% after the board approved its first-ever 1:10 stock split to enhance liquidity and retail participation. The move accompanied Q1FY26 results, showing an 11.6% rise in PAT. Technically, the stock remains bullish, trading above all key moving averages and showing strong momentum indicators. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Stock moves and technical Shares of Tata Investment Corporation climbed as much as 9.2% on Tuesday to Rs 7,625 on the BSE after the company's board approved its maiden stock split in a move aimed at improving liquidity and accessibility for retail investors. The announcement came alongside its June quarter results, which showed a double-digit rise in board of Tata Investment Corporation on Monday approved the sub-division of its equity shares in a 1:10 ratio, from one share with a face value of Rs 10 to ten fully paid-up equity shares with a face value of Re 1 its exchange filing, the company said the stock split was designed 'to make the equity shares of the company more affordable for the retail investors and to encourage wider participation in the company's ownership'. The Tata Group-firm said that the sub-division is expected 'to improve the liquidity of the equity shares of the company in the stock market'.The decision is subject to shareholder approval via postal ballot, in addition to any required statutory or regulatory clearances. The company said it would announce the record date for the stock split 'in due course', once all approvals are in is the first time Tata Investment has undertaken a stock split since listing. The company last offered bonus shares in 2005, in a 1:2 ratio, according to Trendlyne Investment also reported its financial results for the quarter ended June 2025. Consolidated profit after tax rose 11.6% year-on-year to Rs 146.30 crore, compared to Rs 131.07 crore in the same period last year. Revenue from operations stood at Rs 145.46 crore, up 2.1% from Rs 142.46 crore in stock has advanced 6.1% year-to-date and is up 21.6% over the past 12 months. In the last one month alone, it has gained nearly 8%.From a technical perspective, Tata Investment shares are trading above all eight of their key simple moving averages, including the 5-day, 10-day, 20-day, 30-day, 50-day, 100-day, 150-day, and 200-day levels, signalling sustained bullish momentum across Relative Strength Index (RSI) is at 65.2, indicating that the stock is approaching overbought territory but remains within a neutral range. Meanwhile, the Moving Average Convergence Divergence (MACD) stands at 43.1 and continues to hover above both the centerline and signal line, underscoring the strength of the ongoing Read: Sri Lotus Developers IPO: Latest GMP suggests SRK, Big B and Ashish Kacholia may pocket 28% gains (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
Economic Times
10 minutes ago
- Economic Times
India's tax department investigating Jane Street over possible tax treaty misuse, sources say
Synopsis Indian tax authorities are investigating Jane Street for potential tax violations related to derivative trades. The probe centers on whether the firm used its Singapore entities to evade taxes, leveraging the Double Taxation Avoidance Agreement. This follows a SEBI ban alleging market manipulation. TIL Creatives India's tax authorities are investigating whether Jane Street violated tax laws by booking profits via its Singapore entities on its derivative trades in the Indian market, three sources briefed on the matter said. Searches at the U.S. trading firm's India offices by the income tax department have been underway since last week, sources have said. A government source who was briefed on the matter later said that Jane Street staff were not cooperating. The tax authorities' enquiries follow a temporary ban by the Securities and Exchange Board of India (SEBI), the market regulator, which publicly alleged that the firm manipulated stock indexes through its derivatives positions. Jane Street has denied the SEBI allegations, but has not made any public comments so far on the tax investigation. The firm did not respond to a Reuters request sent to its U.S. headquarters for comment on Monday on the latest developments. India's income tax department did not respond to Reuters request for comment. Tax authorities are investigating whether Jane Street violated the General Anti-Avoidance Rules (GAAR) by using the Double Taxation Avoidance Agreement (DTAA) between India and Singapore to evade taxes on large profits it made on Indian derivative trades, all three sources said. The sources declined to be named because they were not authorised to speak to the media. The DTAA is designed to prevent residents from being taxed twice, while the GAAR gives a country the power to deny a particular tax benefit if it is being used solely for tax avoidance. The Indian tax authorities are looking into whether Jane Street booked larger profits on its derivatives positions in the Indian market via its Singapore entities as a way to reduce the tax burden, all three sources briefed on the matter added. SEBI's July 4 ban order showed that Jane Street made more than $4 billion trading in India from January 2023 to May 2025. Jane Street's two India entities - JSI Investments and JSI2 Investments - made a profit of 39.35 billion Indian rupees ($448.23 million), Jane Street Singapore made a profit of 256 billion rupees ($2.92 billion) and its Hong Kong entity, Jane Street Asia Trading, made a profit of 69.30 billion Indian rupees ($789.39 million), the order showed. If the tax department's probe shows the tax rules have been breached, Jane Street could be issued with a tax demand, the third source said. Tax authorities are trying to access Jane Street's accounts, which are maintained overseas, they added. The second source said SEBI had provided the tax department with the profit and loss details of four Jane Street group entities the regulator had named in its orders. SEBI did not immediately respond to Reuters' request for comment.
The Hindu
14 minutes ago
- The Hindu
Highway Infrastructure IPO fully subscribed within hours of opening for bidding
The initial public offer of Highway Infrastructure Ltd got fully subscribed within hours of opening for bidding on Tuesday (August 5, 2025). The three-day initial share sale received bids for 11,97,90,186 shares against 1,60,43,046 shares on offer, translating into 7.47 times subscription, according to data available with the NSE till 11:45 hours. Retail Individual Investors (RIIs) part fetched 9.63 times subscription while the quota for non-institutional investors got subscribed 7.14 times. The Qualified Institutional Buyers (QIBs) portion received 90% subscription. Highway Infrastructure Ltd. on Monday (August 4, 2025) said it had raised ₹23.40 crore from the anchor investors, including HDFC Bank and Abans Finance Pvt. Ltd. The ₹130-crore Initial Public Offering (IPO) will conclude on Thursday (August 7, 2025). The price band has been fixed at ₹65-70 per share. The IPO is a mix of fresh issue of 1.39 crore shares aggregating to ₹97.52 crore and an offer for sale of 46.4 lakh shares amounting to ₹32.48 crore. Proceeds from the fresh issue to the tune of ₹65 crore will be utilised to fund the working capital requirements of the company and the balance for general corporate purposes. Incorporated in 1995, Highway Infrastructure Ltd (HIL), is engaged in tollway collection, EPC (Engineering, Procurement, and Construction) projects, and real estate development. The Indore-based company specialises in the construction and maintenance of roads, highways, bridges, and residential projects. The company's total income stood at Rs 504.48 crore and profit after tax of Rs 22.40 crore. The company's shares will be listed on the BSE and NSE. Pantomath Capital Advisors is the sole book-running lead manager, while Bigshare Services is the registrar for the IPO.
