- The company has allotted 1.58 crore equity shares to 67 funds at Rs 500 apiece, which is also the upper end of the price band
- The maiden public issue, with a price band of Rs 475 to Rs 500 per share, which opened for public subscription on November 22 will conclude on November 24
- The IPO subscription status was 6.55 on day 1, Wednesday
NE BUSINESS BUREAU
AHMEDABAD, NOV 22
Tata Technologies, which provides engineering and product development digital services, on Tuesday said it has collected Rs 791 crore from anchor investors ahead of its initial share-sale opening on Wednesday.
The Tata group company’s IPO subscription status was 6.55 on day 1. The IPO witnessed maximum interest of non institutional investors (NIIs) with NII subscription at 11.69 times on Wednesday. Its retail investors portion was subscribed 5.44 times and Qualified Institutional Buyers (QIBs) portion was booked 4.08 times. Tata Tech IPO’s employee portion was subscribed 14%.
The first day of Tata Tech IPO subscription concluded with a proactive role of non institutional investors (NII). The Tata Group IPO’s subscription stateus was 6.55 on Wednesday. Its NII subscription status stood at 11.69 times, whereas retail investors portion was subscribed 5.44 times. Its Qualified Institutional Buyers (QIBs) portion was booked 4.08 times.
This will be the first company from the Tata Group to float an Initial Public Offering (IPO) in nearly two decades. Tata Consultancy Services was the last IPO from the group in 2004.
The company has allotted 1.58 crore equity shares to 67 funds at Rs 500 apiece, which is also the upper end of the price band, according to a circular uploaded on the BSE website.
Goldman Sachs (Singapore) Pte, Copthall Mauritius Investment Ltd, Government Pension Fund Global, are among the anchor investors.
Additionally, domestic mutual funds and insurance companies participated in the anchor book include SBI Mutual Fund (MF), ICICI Prudential MF, Nippon India MF, Kotak MF, Axis MF Bandhan MF, Edelweiss MF, Sundaram MF, SBI Life Insurance Company and HDFC Life Insurance Company.
The maiden public issue, with a price band of Rs 475 to Rs 500 per share, which opened for public subscription on November 22 will conclude on November 24.
Tata Motors’ arm Tata Technologies public issue is entirely an Offer For Sale (OFS) of 6.08 crore equity shares.
Under the OFS, Tata Motors will offload 4.63 crore shares, representing an 11.4 per cent stake, private equity firm Alpha TC Holdings will sell 97.17 lakh shares or 2.4 per cent stake, and Tata Capital Growth Fund I will do away with 48.58 lakh shares or 1.2 per cent of the shareholding.
The issue will fetch Rs 2,890.4 crore and Rs 3,042.5 crore at the lower and upper end of the price band, respectively.
The company has reserved 20.28 lakh shares in the IPO for its employees and 60.85 lakh shares for Tata Motors shareholders.
Last month, Tata Motors inked a pact to sell 9.9 per cent stake in Tata Technologies to TPG Rise Climate for Rs 1,613.7 crore.
JM Financial, Citigroup Global Markets, and BofA Securities are the book-running lead managers to advise the company on the IPO.
The equity shares of Tata Technologies will be listed on the BSE and the NSE on November 30, 2023.
