Tata Capital Plans Rs 17,200 Crore IPO, Set to Hit Markets on September 30

Tata Capital to Launch Rs 17,200 Crore IPO, Likely Market Debut on September 30.

Tata Capital, the Tata Group’s non-banking financial company (NBFC), is gearing up to launch its highly anticipated USD 2 billion (Rs 17,200 crore) initial public offering (IPO) in the last week of September, with a likely market debut on September 30, according to PTI citing sources familiar with the matter.

The IPO comprises a total of 47.58 crore shares, including a fresh issue of 21 crore equity shares and an offer for sale (OFS) of 26.58 crore shares, as per the updated draft red herring prospectus (DRHP) filed in August. Under the OFS, Tata Sons will divest 23 crore shares, while the International Finance Corporation (IFC) plans to offload 3.58 crore shares.

Currently, Tata Sons holds an 88.6% stake in Tata Capital, with IFC owning 1.8%. Proceeds from the IPO will bolster the company’s Tier-1 capital, supporting future lending and capital requirements.

If successful, this IPO could become the largest in India’s financial sector and marks the Tata Group’s second recent public listing after Tata Technologies debuted in November 2023. Ahead of the IPO, Tata Capital has conducted a series of institutional roadshows to engage both domestic and global investors, boosting market sentiment.

The listing aligns with the Reserve Bank of India’s directive for all ‘upper layer’ NBFCs to go public by September 2025.

Tata Capital has demonstrated strong financial performance ahead of the IPO. In Q4 FY25, the company’s consolidated profit after tax (PAT) rose 31% year-on-year to Rs 1,000 crore, while revenue jumped nearly 50% to Rs 7,478 crore. For the full FY25, PAT increased to Rs 3,655 crore from Rs 3,327 crore in FY24, and total revenues climbed to Rs 28,313 crore from Rs 18,175 crore.

Earlier, in April 2025, Tata Capital filed draft papers with market regulator SEBI through a confidential pre-filing route, a trend increasingly adopted by Indian companies. This allows firms to delay public disclosure of IPO details until later stages.