Tata Sons-backed Tata Capital information up to date draft papers with SEBI for IPO

Non-banking monetary firm Tata Capital has filed up to date draft papers for an Initial Public Offering (IPO) comprising as much as 47.58 crore fairness shares.

The proposed IPO is a mix of a contemporary issuance of 21 crore fairness shares in addition to an Offer For Sale (OFS) of 26.58 crore shares, in keeping with the up to date 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 via the difficulty will probably be used for augmentation of the corporate’s Tier-1 capital base to satisfy future capital necessities, together with onward lending. Tata Capital filed draft papers in April with the markets regulator Sebi for an IPO via a confidential pre-filing route and had obtained Sebi’s approval in July. Following this, firms are required to file an up to date DRHP earlier than submitting an RHP.

Sources had instructed PTI that the IPO dimension could possibly be $2 billion, valuing the corporate at round $11 billion.

If profitable, this IPO would be the largest preliminary share sale within the nation’s monetary sector. It can even mark Tata Group’s second public market debut in recent times, following the itemizing of Tata Technologies in November 2023.

This transfer is a part of the corporate’s efforts to adjust to the Reserve Bank of India’s (RBI’s) itemizing necessities.

As per the RBI mandate, upper-layer NBFCs are required to record on the inventory alternate inside three years of being designated as such. Tata Capital was categorised as an upper-layer NBFC in September 2022. For the monetary yr 2024-25, Tata Group’s monetary providers agency reported a PAT of Rs 3,655 crore as in comparison with ₹3,327 crore in FY24, and revenues surged to ₹28,313 crore from ₹18,175 crore. The concern is being managed by a consortium of book-running lead managers, together with 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.