Tata Capital's IPO: A Resounding Success with 1.38 Times Subscription

Tata Capital Ltd's IPO was fully subscribed by the close of bidding, with a 1.38 times subscription rate. The offering included new shares and an Offer For Sale, raising funds to enhance its Tier-1 capital. Key investor categories showed strong interest, ensuring a robust debut on the stock market.

Tata Capital Ltd's initial public offering (IPO) was fully subscribed on its final bidding day, securing a 1.38 times subscription rate against the shares available. According to data from the NSE, the IPO received a robust response, garnering bids for over 45.84 crore shares compared to the 33.34 crore on offer.

Investor response underscored strong backing, with the Qualified Institutional Buyers (QIBs) category oversubscribed at 2.07 times and non-institutional investors at 1.46 times. Retail Individual Investors (RIIs), however, saw a 93% subscription rate. The IPO's pricing ranged from Rs 310 to Rs 326 per share, bringing Tata Capital's valuation to about Rs 1.38 lakh crore at the upper limit.

The proceeds from the offering will bolster Tata Capital's Tier-1 capital base, matching the Reserve Bank of India's mandates for listing upper-layer non-banking financial companies. This successful IPO, sharing exposure with Tata Technologies' 2023 listing, reinforces Tata Group's presence in the market.

(With inputs from agencies.)