In a significant move towards market expansion, the Tata Group, under the leadership of N Chandrasekaran, has reportedly filed for an initial public offering (IPO) of its flagship financial services subsidiary, Tata Capital. According to a report by Moneycontrol, the conglomerate has taken the confidential pre-filing route with the Securities and Exchange Board of India (SEBI), aiming to raise over ₹15,000 crore through the public offering.
Tata Capital, a non-banking financial company (NBFC), operates under Tata Sons—the principal holding company of the group. The IPO filing marks a major milestone for the Tata Group’s financial services ambitions, positioning Tata Capital among the key players in the NBFC space that are tapping into public markets.
As per the Moneycontrol report, Tata Capital has roped in an impressive consortium of ten leading investment banks to manage the IPO process. These include Kotak Mahindra Capital, Citi, JP Morgan, Axis Capital, ICICI Securities, HSBC Securities, IIFL Capital, BNP Paribas, SBI Capital, and HDFC Bank. The choice of the confidential pre-filing route suggests a strategic approach to market conditions and regulatory navigation.
The draft red herring prospectus (DRHP) was reportedly filed with SEBI by the end of March or early April, as anticipated. The IPO is expected to be a combination of both primary and secondary offerings. Tata Sons, along with global investor IFC (International Finance Corporation), is set to dilute a portion of their stakes, with Tata Sons likely to lead the divestment.
As per the news portal, sources close to the matter have indicated that the confidential filing has already been submitted, although official confirmations remain scarce. Tata Sons has declined to comment, and attempts by Moneycontrol to reach Tata Capital, IFC, and the participating banks did not elicit immediate responses.
