Tata Capital IPO Receives Sebi Approval For Floating Rs 17,200 Crore Public Issue, Says Report

Tata Capital News: Tata Capital IPO News: The primary market is witnessing renewed interest as multiple companies are slated to raise money through Initial Public Offers (IPOs). Tata Capital Ltd. has also joined the list as the market regulator Securities Exchange Board gave its approval for the public issue on June 21.

Tata Capital IPO Date

According to a report by the Economic Times the Tata Group company is likely to raise Rs 17,200 crore via its public issue. After the approval, it is likely that the Non-Banking Financial Company will file its Red Herring Prospectus in July.

Earlier on April 5, Tata Capital filed its draft red herring prospectus (DRHP) with the Sebi through the confidential filing method. The confidential filing method enables companies to initiate the public issue process without disclosing details of the offer to the public. By going for the pre-filing or confidential filing route, companies can receive regulatory feedback and estimate market interest in their IPO before going ahead with it.

Tata Capital IPO Approval

Following Sebi's approval, Tata Capital will upload the updated draft papers on the regulator's website. Soon after uploading the DRHP, the company will upload the RHP. According to reports, the Tata Group company is likely to raise funds via both a fresh issuance of 2.3 crore shares and an offer for sale by the company's promoter. Tata Sons is the promoter of the company and holds a 93 per cent stake in the NBFC. Tata Capital IPO price is likely to be announced in July once the company files its RHP.

Tata Capital IPO RBI Regulations

Tata Capital Ltd was incorporated in 2007. The Tata Group company operates as a diversified NBFC. Tata Capital is classified as an 'upper-layer NBFCs' by the Reserve Bank of India. The RBI requires all upper-layer NBFCs to list their equity on the exchanges within a period of three years from starting their operations. Earlier in January 2025, the apex bank identified 15 systemically crucial NBFCs and urged them to comply with the listing norms and enforced a September 2025 listing deadline. Notably NBFCs are classified into different layers on the basis of their asset size, interconnectedness and other regulatory criteria.

Tata Capital Financial Results

Tata Capital posted strong performance in the March quarter of FY 2024-25 as the total income surged by nearly 30 per cent to Rs 1931.87 crore compared to Rs 1486.35 crore in the fourth quarter of the previous fiscal. Tata Capital's profit-after-tax for the March quarter of FY 2024-25 grew by more than 26 per cent to Rs 393.94 crore compared to Rs 310.67 crore in the March quarter of FY 2023-24.

Tata Capital's total income for the full fiscal ended March 31, 2025 stood at Rs 6975.36 crore growing by over 34 per cent compared to Rs 5189.2 crore in the preceding fiscal. The NBFC's net profit for FY 2024-25 stood at Rs 1498.93 crore increasing by over 30  per cent compared to Rs 1147.67 crore in the preceding fiscal.

If the Tata Group company goes ahead with the public issue, it will be the biggest offer-for-sale in India's financial sector. Notably, this is also the Tata Group's second public issue in the last two years after Tata Technologies was listed.