The primary market is set for an active week as Tata Capital and LG Electronics India prepare to launch their initial public offerings (IPOs), together valued at over ₹26,000 crore. Given the scale of these issues and the reputation of their parent groups, strong investor participation is expected.
For Tata Capital, this marks the Tata Group’s second public listing in recent years, following Tata Technologies’ IPO in November 2023.
Here’s what investors need to know before subscribing:
- Anchor Investors: Tata Capital raised ₹4,642 crore from 68 domestic and global institutional investors, with the anchor book oversubscribed nearly five times.
- Issue Size: The IPO size is ₹15,512 crore.
- Issue Dates: The IPO opens for subscription from October 6 to October 8, 2025.
- Price Band: Shares are priced between ₹310 and ₹326 each.
- Objective: The proceeds will be used to strengthen Tata Capital’s Tier-1 capital base, supporting future lending and capital requirements.
- Key Financials:
- FY 2024-25 PAT: ₹3,655 crore (up from ₹3,327 crore in FY24)
- Revenue FY25: ₹28,313 crore (up from ₹18,175 crore in FY24)
- IPO Grey Market Premium (GMP): Shares are trading at a GMP of around 2%, suggesting a potential listing gain of 2.45%.
- Allotment Date: Share allotment is expected by October 9, 2025.
- Listing Date: Shares will list on BSE and NSE on October 13, 2025.
- Subscription Considerations: Analysts have highlighted Tata Capital’s strong parentage, diversified products, omni-channel distribution, stable asset quality, high credit rating, and a diverse liability profile as key strengths. Growth strategies include expanding product offerings, strengthening distribution, and maintaining a strong talent pool.
Risks include asset quality concerns, exposure to unsecured loans, loan concentration, and liquidity risks.
Disclaimer: The information provided above is for educational and informational purposes only. It should not be considered as investment advice. Readers are advised to consult certified financial advisors or experts before making any investment decisions.
