Tata Technologies IPO: Unprecedented Success with 69.43 Times Subscription
In a remarkable testament to investor confidence, Tata Technologies’ initial public offering (IPO) has seen an astounding subscription of 69.43 times, reflecting widespread enthusiasm from the investment community, reported Live Mint.
The total bids of ₹1.56 lakh crore have surpassed the issue size of ₹2,200 crore, excluding the anchor portion, Open for subscription from November 22 to November 24, 2023, the IPO received substantial interest from institutional buyers, subscribing an impressive 203.41 times the allocated portion. Non-institutional investors also demonstrated strong demand, with bids reaching 62.11 times the available shares, Business Today reported.
Investors’ keen interest in the IPO is attributed to Tata Technologies’ robust financial performance, its established global presence in engineering and digital product development, and its association with the esteemed Tata Group. The company’s commitment to innovation and expertise in cutting-edge technologies has further fueled investor confidence.
With the subscription success, Tata Technologies’ shares are priced at ₹500 each, valuing the IPO at ₹3,042.5 crore. Tata Motors, the company’s promoter, has sold 4.63 crore equity shares for ₹2,313.75 crore, and Alpha TC Holdings and Tata Capital Growth Fund have also divested their respective shares.
This IPO marks a significant milestone as the Tata Group re-enters the public markets after almost two decades, with Tata Consultancy Services being the last to go public in 2008.
The finalization of the basis of allotment is pending, and the shares are expected to be listed on both the BSE and NSE on November 30, 2023. The robust demand witnessed during the IPO signals a positive outlook for Tata Technologies as it enters the listed space.
