The initial public offering (IPO) of Tata Capital Ltd is drawing significant attention in the market. As of the second day of bidding on October 7, the subscription trends are shaping up with a mix of investor interest across categories, reflecting healthy demand for the non-banking financial company’s shares.
Market Performance: Tata Capital IPO Subscription on Day 2
On the second day of the IPO, Tata Capital received bids for 15,27,94,428 shares, against a total of 33,34,36,996 shares on offer. This translates to an overall subscription of 46% so far. Breaking it down by investor category:
- Qualified Institutional Buyers (QIBs): Subscribed 52%
- Retail Individual Investors (RIIs): Subscribed 45%
- Non-Institutional Investors (NIIs): Subscribed 38%
- Employee Portion: Fully booked at 137%
These numbers indicate that institutional investors are showing slightly higher interest compared to retail investors, while the employee portion continues to see strong uptake.
Main News: Anchor Book & Fund Collection
Ahead of the IPO, Tata Capital successfully raised Rs 4,642 crore from 68 domestic and global institutional investors in its anchor book. The demand for anchor allocation was nearly five times higher than the amount allocated, showcasing robust investor confidence prior to the public subscription.
Company Details: Tata Capital Overview
Tata Capital Ltd is a prominent non-banking financial company (NBFC) in India. Here’s a snapshot of the IPO structure and company details:
- IPO Size: Rs 15,512 crore
- Price Band: Rs 310-326 per share
- Total Shares on Offer: 47.58 crore
- Fresh Issue: 21 crore equity shares
- Offer for Sale (OFS): 26.58 crore shares
- Tata Sons: 23 crore shares
- International Finance Corporation (IFC): 3.58 crore shares
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Current Promoters:
- Tata Sons: 88.6%
- IFC: 1.8%
- Purpose of IPO Proceeds: Strengthening Tier-1 capital base to support lending and future capital requirements.
Tata Capital is recognized for its wide portfolio of over 25 lending products and serves a diverse client base, including salaried individuals, entrepreneurs, SMEs, and corporates. Beyond lending, the company distributes insurance and credit card products, provides wealth management services, and manages private equity funds.
Summary: Key Takeaways
- IPO Subscription: 46% on Day 2, with QIBs leading at 52%
- Anchor Fund Collection: Rs 4,642 crore from 68 investors
- IPO Closure: October 8, 2025
- Market Debut: Scheduled for October 13, 2025
- Valuation: Approx. Rs 1.38 lakh crore at the top end of the price band
This IPO marks Tata Group’s second public listing in recent years, following Tata Technologies in November 2023, and fulfills RBI’s mandate for upper-layer NBFCs to get listed within three years of classification. Tata Capital’s inclusion as an upper-layer NBFC came in September 2022, making this listing a significant milestone for the company and the group.
