05-Oct-2023
2 mins read
Tata Technologies Ltd is setting aside a section of its forthcoming IPO for its employees and shareholders of Tata Motors Ltd. According to a decision made by the board on September 6, up to 0.5% of the equity after the offer will be earmarked for its employees, while Tata Motors Ltd shareholders will get up to 10%, distributed based on their shareholding.
On June 28, the green light for the company’s first IPO in almost 20 years came from SEBI. This public offering comprises the sale of nearly 9.57 crore shares, which represents 23.6% of the firm’s fully paid-up capital. These shares are currently held by stakeholders like Tata Motors, Alpha TC Holdings, and Tata Capital Growth Fund I. Currently, the largest share, 74.69%, is owned by Tata Motors, followed by Alpha TC Holdings Pte with a 7.26% stake, and Tata Capital Growth Fund I at 3.63%.
The IPO date for Tata Technologies is November 22, 2023 to November 24, 2023. The issue pertains solely to the sale of 60,850,278 equity shares of Rs 2 each. Thanks to approval from the capital markets regulator SEBI, Tata Technologies Limited is now eligible to raise capital through an initial public offering (IPO).
Tata Technologies Product Portfolio
Established in 1994, Tata Technologies Limited stands out as a premier global engineering service provider. They specialise in product innovation and digital solutions, encompassing comprehensive solutions for global original equipment manufacturers (OEMs) and their primary suppliers.
Driven by a mission to add value, Tata Technologies aids its clients in crafting products that prioritise safety and sustainability and overall enhance the user experience.
Their profound expertise in the automotive sector allows them to adeptly cater to clients from related industries, including aerospace, transportation, and heavy machinery construction.
Tata Technologies operates on a global scale, uniting diverse professionals from across the globe, each bringing their unique skills to the table. This collaborative approach enables them to address and solve intricate engineering challenges.
Being a part of the Tata Motors family, Tata Technologies delivers engineering services and holistic solutions to OEMs and their foremost suppliers worldwide.
The Objectives of Tata Technologies Limited IPO
The goals of Tata Technologies Limited’s IPO are twofold. Firstly, they aim to capitalise on the advantages of having their Equity Shares listed on the stock market platforms. Secondly, they intend to facilitate a Sale Offer for a substantial number, potentially up to 60,850,278 equity shares of Rs 2 each on behalf of the selling stakeholders.
Financial Performance of Tata Technologies Limited IPO (In Crore)
| Period Ended | 30-Sep-23 | 31-Mar-23 | 31-Mar-22 | 31-Mar-21 |
| Assets | 5,142.42 | 5,201.49 | 4,218.00 | 3,572.74 |
| Revenue | 2,587.42 | 4,501.93 | 3,578.38 | 2,425.74 |
| Profit After Tax | 351.9 | 624.04 | 436.99 | 239.17 |
| Net Worth | 2,853.13 | 2,989.47 | 2,280.16 | 2,142.15 |
| Reserves and Surplus | 2,455.29 | 2,605.60 | 2,028.93 | 1,897.46 |
Key Performance Indicator
| KPI | Values |
| P/E (x) | 32.53 |
| Market Cap (Rs Cr.) | 20283.43 |
| EPS (Rs) | 15.37 |
| RoNW | 20.87% |
Important Details of Tata Technologies Limited IPO
| IPO Date | November 22, 2023 to November 24, 2023 |
| Listing Date | 5-Dec-23 |
| Face Value | Rs 2 per share |
| Price | Rs 475 to Rs 500 per share |
| Lot Size | 30 Shares |
| Total Issue Size | 60,850,278 shares (aggregating up to Rs 3,042.51 Cr) |
| Offer for Sale | 60,850,278 shares of Rs 2 (aggregating up to Rs 3,042.51 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Share holding pre issue | 405,668,530 |
| Share holding post issue | 405,668,530 |
Tata Technologies IPO Reservation
| Investor Category | Shares Offered |
| QIB Shares Offered | Not more than 50% of the Net Issue |
| Retail Shares Offered | Not less than 35% of the Net Issue |
| NII (HNI) Shares Offered | Not less than 15% of the Net Issue |
Tata Technologies IPO Lot Size
| Application | Lots | Shares | Amount |
| Retail (Min) | 1 | 30 | Rs 15,000 |
| Retail (Max) | 13 | 390 | Rs 195,000 |
| S-HNI (Min) | 14 | 420 | Rs 210,000 |
| S-HNI (Max) | 66 | 1,980 | Rs 990,000 |
| B-HNI (Min) | 67 | 2,010 | Rs 1,005,000 |
Tata Technologies IPO Promoter Holding
Tata Motors Limited is the Promoter of the company.
| Shareholding Pre Issue | 66.79% |
| Shareholding Post Issue | 55.39% |
Tata Technologies Limited IPO Lead Manager(s)
The lead managers for Tata Technology Limited IPO are Jm Financial Limited, Citigroup Global Markets India Private Limited and Bofa Securities India Limited.
How to Apply for Technologies Limited IPO
Wait for the public issue to open for subscription, then click on this link to apply for theta Technologies Limited IPO with Bigul https://ipo.bonanzaonline.com/
How to Check the Allotment Status of Tata Technologies Limited IPO
The registrar for Tata Technologies Limited IPO is Link Intime India Private Ltd. To check your allotment status, please click on this link https://linkintime.co.in/
FAQs
- What is Tata Technologies Limited’s IPO?
Tata Technologies Limited IPO is a public offering where the company is selling its shares to the general public to get listed on stock exchanges.
- When is the IPO Date?
The specific IPO date is November 22, 2023 to November 24, 2023.
- What will be the listing date of Tata Technologies Limited on the stock exchange?
The listing date has been announced as December 5, 2023.
- What is the face value of the Tata Technologies Limited share?
The face value of each share is Rs 2.
- How many shares are being offered in this IPO?
The company is offering a total of 60,850,278 shares.
- Where will Tata Technologies Limited be listed?
The shares will be listed on both BSE and NSE.
- What is the price of each share in the IPO?
The share price for the IPO has been declared as Rs 475 to Rs 500 per share.
- Who are the promoters of Tata Technologies Limited?
Tata Motors Limited is the primary promoter of the company.
- What was the shareholding of the promoters before and after the IPO?
Before the IPO, the promoter’s shareholding was 66.79%. The post-IPO shareholding is 55.39%.
- Who are the lead managers for the IPO?
The lead managers are JM Financial Limited, Citigroup Global Markets India Private Limited, and BofA Securities India Limited.
- How can I apply for the Tata Technologies Limited IPO?
Once the public issue is open, you can apply for the IPO through this link: Tata Technologies Limited IPO on Bigul.
- How can I check my allotment status for the IPO?
The registrar for the IPO is Link Intime India Private Ltd. To check the allotment status, visit Link Intime.
- What is the significance of the reservations mentioned (QIB, Retail Shares, NII)?
These reservations signify the portion of the IPO allocated to different types of investors. For instance, QIBs (Qualified Institutional Buyers) will be offered no more than 50% of the Net Issue, retail investors will be offered not less than 35%, and Non-Institutional Investors (HNIs) will be offered not less than 15%.
- What is the primary objective of the Tata Technologies Limited IPO?
The company’s primary objectives are to capitalise on the benefits of listing its shares on stock exchanges and facilitate a Sale Offer for a substantial number of shares.
- What has been the financial performance of Tata Technologies Limited in the recent past?
Financial highlights include growth in total assets, total revenue, profit after tax, net worth, and reserves and surplus in the years 2021 to 2023, as provided in the provided data. Tata Technologies’s revenue increased by 25.81%, and PAT grew by 42.8% between the financial year ending with March 31, 2023 and March 31, 2022.