Tata Capital IPO: Tata Group Likely to Launch ₹15,000 Crore IPO of NBFC Company in 2025

Tata Capital Set to Launch ₹15,000 Crore IPO in 2025.

Expert Analysis:

• Regulatory Requirement for IPO: Tata Capital’s IPO is mandated by RBI’s requirement for upper-layer NBFCs to go public by September 2025.

• Size and Structure of IPO: Expected to raise $2 billion (₹15,000 crore), the largest IPO in Tata Group’s history, with both primary and secondary offerings.

• Business Overview & Financial Performance: Tata Capital serves 5.2 million customers, operates 900 branches, and posted ₹18,178 crore revenue (+34% YoY) and ₹3,315 crore net profit (+12%) in FY24.

• Financial Performance: Loan book size as of October 28, 2024, is ₹1,76,536 crore.

• Advisors for IPO: Tata Group has appointed Kotak Mahindra Capital as the investment bank and Cyril Amarchand Mangaldas as the legal advisor, with additional investment banks expected to join soon.

• Market Anticipation and Impact: The announcement of Tata Capital’s IPO caused a 12% surge in Tata Investment Corporation shares, reflecting optimistic market sentiment.