Business
Tata Technologies files preliminary papers to raise funds via IPO
Tata Technologies Ltd, a subsidiary of Tata Motors Ltd, has filed preliminary papers with capital markets regulator Sebi to raise funds through an initial public offering (IPO).
Shares of the company are proposed to be listed on both NSE and BSE. The IPO is purely an offer for sale (OFS), where the company will sell up to 9.57 crore equity shares representing approximately 23.60 per cent of its paid-up share capital, according to the Draft Red Herring Prospectus (DRHP). Under the OFS, Tata Technologies’ parent company Tata Motors will offload 8.11 crore shares or a 20 per cent stake in the company.
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Among other shareholders, Alpha TC Holdings Pte plans to sell up to 97.16 lakh shares (2.40 per cent) and Tata Capital Growth Fund I would offload up to 48.58 lakh equity shares (1.20 per cent). The company is a leading global engineering services company offering product development and digital solutions, including turnkey solutions, to global original equipment manufacturers (OEMs).
For the nine months ended December 2022, the firm reported revenue from operations of Rs 3,011.79 crore against Rs 2,607.30 crore for the nine months ended December 2021. JM Financial Ltd, Citigroup Global Markets India and BofA Securities India are the book running lead managers to the issue.
