Tata Capital IPO: A Giant Leap in Financial Markets

Tata Capital Ltd's eagerly anticipated initial public offering (IPO) kicked off with a promising start, securing a 39% subscription on the first day of bidding according to the National Stock Exchange (NSE) data.

The IPO, set at a price range between Rs 310 and Rs 326 per share, attracted bids for over 12 million shares compared to the 33 million available, demonstrating healthy investor interest. The Qualified Institutional Buyers (QIBs) subscribed to 52% of their allotted shares, while the Retail Individual Investors (RIIs) accounted for 35% subscription. Non-institutional investors followed with a 29% stake.

Boosted by funds collected from 68 domestic and global investors amounting to Rs 4,642 crore, Tata Capital plans to use the proceeds to bolster its Tier-1 capital base. The offering marks Tata's second major listing recently, adhering to the Reserve Bank of India's (RBI) directive that upper-layer non-banking financial companies (NBFCs) must go public within three years of classification.

(With inputs from agencies.)