Tata Sons has announced its intention to sell 2.34 crore shares of the IT giant Tata Consultancy Services Ltd (TCS) at a price of Rs 4,001 per share through block deals. This move is expected to raise up to $1.1 billion for Tata Sons, as reported by Bloomberg on March 18.
The offered price represents a 3.6 percent discount to TCS’s last traded price. On March 18, TCS shares on the Bombay Stock Exchange (BSE) closed 1.8 percent lower at Rs 4,144.25, with an intraday high of Rs 4,254.75.
According to the information released from the quarterly TCS filing as of December 31, 2023, promoter stake is 72.41%, with Tata Sons is holding 72.38% of that and Tata Investment Corporation possessing the residual holdings. The joint bookrunners for the planned release are Citigroup and JPMorgan.
The 2.34 crore shares represent 0.65 percent of TCS’s equity. With a market capitalization of Rs 15 lakh crore, TCS is India’s second most-valued listed company, following Reliance Industries Ltd (RIL), led by Mukesh Ambani.
Tata Group shares have been in the light in March after a mention from Spark Capital underscored the option of Tata Sons listing by September 2025 since September 2022 completes three years of Tata Sons being notified as a layer-over Non-Banking Financial Company by RBI . RBI requires those to record within three years of being informed as a layer-over NBFC. Generally, Tata Sons controls 29 listed Tata Group companies with united market capitalization of Rs 31.6 lakh crores.
