The Tata Group today has filed the papers with the market regulator SEBI to launch the initial public offering of Tata Technologies. Over two decades have passed since 2004 when Tata Consultancy Services became the final member of the Tata Group to test the Indian public markets. Up to 95.71 million shares, or up to 23.60 percent of its paid-up capital share, are being offered for sale as part of the first public offering (IPO).Tata technologies provides the engineering services to its global clients, which includes product development and digital assistance. It majorly serves automobiles, aerospace, transport, construction and original equipment manufacturers. The company however has increased the share of the business generated outside. Reportedly, its non-captive contribution rose to 64 percent in 2022 as compared to 46 percent in financial year 2020.The offer for sale comprises up to 81.13 million equity shares by Tata Motors, 9.71 million shares by Alpha TC Holdings Pte. Ltd. and up to 4.86 million shares by Tata Capital Growth Fund I, each representing up to 20 per cent, 2.40 per cent and 1.20 per cent, respectively of Tata Technologies paid-up share capital.The revenue for the period of nine months ended December 31, 2022 and December 31, 2021 was Rs 3011.79 crore and Rs 2607.3 crore. Its employee count (both full time and contracted personnel) grew from 8,620 in March 2020 to 11,081 till December 31, 2022.Tata Motors in an official statement announced that “We wish to inform you that Tata Technologies, a subsidiary of Tata Motors Limited, has informed the company that it has today filed a draft red herring prospectus dated March 9, 2023 with the Securities and Exchange Board of India for an initial public offering.”Currently, Tata Capital Advisors-managed Alpha TC Holdings Pte Ltd owns 8.96 percent of Tata Technologies, Tata Capital Growth Fund owns 4.48 percent, and Tata Motors shares 74.42 percent of the company.The offering includes up to 4,858,425 equity shares from Tata Capital Growth Fund I, up to 81,133,706 equity shares from Tata Motors, and up to 9,716,853 equity shares from Alpha TC Holdings, each of which represents up to 20 percent, 2.40 percent, and 1.20 percent of Tata Technologies paid-up share capital, respectively.In December, the Tata Motors board had approved the partial disinvestment of its stake in Tata Technologies. According to reports, the offer which is made through the building process, 35 percent of the IPO will be kept for the retail investors. In the period of nine months ending December 2022, the total revenue of Rs 3,011.80 crore, is reported by the company, recording the 15.5 percent of growth year-on-year. the profit of the company is recorded at Rs. 407.50 crore.Since TCS was listed in 2004 this is the multifaceted conglomerates second initial public offering. As the first business to do so under the new rules, satellite TV provider Tata Play submitted a “pre-filed” DRHP or confidential IPO documents with Sebi earlier in December.According to the information, another IPO is lined up by Tata Group. Tata technologies, today has filed the papers with SEBI and the upcoming IPO would be Tata Play, which is likely to go public soon. As per information, Tata Technologies pre-IPO share price today is around Rs 5,400 per share as per negotiable quantity. Apart from this, the other companies owned by Tata Group are also listed in the stock market. Tata Consultancy Services Limited, Tata Steel Limited, Tata Motors Limited, Titan Company Limited, Tata chemicals Limited, Tata Power Company Limited, The Indian Hotels Company Limited, Tata Consumer Products Limited, Tata Communications Limited, Nelco Limited, Tata Coffee Limited, Tata Elxsi Limited, are few among them.
