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Tata Capital lodges revised IPO prospectus for primary market securing

Tata Capital Submits Revised Prefliminary Prospectus for Initial Public Offering, Intending to Gather Capital for Future Financial Obligations.

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Revised Equity Offering Document submitted by Tata Capital for primary market debt
Revised Equity Offering Document submitted by Tata Capital for primary market debt

Tata Capital lodges revised IPO prospectus for primary market securing

Tata Capital, a significant financial services company under the Tata Sons umbrella, is gearing up for its initial public offering (IPO) in August 2025. The IPO aims to raise around ₹17,200 crore through the issuance of approximately 47.58 crore equity shares (face value ₹10 each).

The primary purpose of this IPO is to strengthen Tata Capital’s Tier-I capital base, an essential requirement for meeting future capital needs, enhancing the capital adequacy ratio, and supporting onward lending and long-term growth in the Non-Banking Financial Company (NBFC) sector.

This move is a strategic capital-raising exercise and a regulatory compliance milestone for Tata Capital. The listing is mandated by the Reserve Bank of India's (RBI) scale-based regulatory framework for NBFCs, introduced in 2021. Tata Capital, classified as an "upper layer" NBFC due to its size and systemic importance since September 2022, must comply by listing on stock exchanges by September 2025. This regulatory requirement is designed to increase transparency, improve corporate governance, and enable better public scrutiny of large NBFCs.

The IPO consists of a fresh issue of 21 crore shares to raise fresh capital and an Offer For Sale (OFS) of about 26.58 crore shares by existing shareholders like Tata Sons and the International Finance Corporation (IFC). Tata Sons plans to sell up to 23 crore shares in the offering, while the IFC proposes to sell up to 3 crore shares.

Tata Capital initially filed confidential IPO papers in April 2025 and received approval from the Securities and Exchange Board of India (SEBI) in July 2025. Kotak Mahindra Capital, BNP Paribas, Citigroup Global Markets are the book-running lead managers for Tata Capital's IPO.

The updated DRHP submission by Tata Capital is in line with the RBI's guidelines, and the IPO will be subject to the approval of the stock exchanges and SEBI. The initial public offering does not specify the price range or the number of shares each investor can buy.

A portion of the funds raised will be used for onward lending to support Tata Capital's growth in the NBFC sector. This is the first IPO by Tata Capital, a Tata Sons-owned financial services company.

The publication date of this article is August 4, 2025.

[1] Tata Capital IPO: All you need to know about the financial services company's public offering. (2025). Business Standard. Retrieved from https://www.business-standard.com/article/companies/tata-capital-ipo-all-you-need-to-know-about-the-financial-services-company-s-public-offering-122080400069_1.html

[2] Tata Capital to raise ₹17,200 crore via IPO, plans to list by September 2025. (2025). The Economic Times. Retrieved from https://economictimes.indiatimes.com/markets/stocks/news/tata-capital-to-raise-17200-crore-via-ipo-plans-to-list-by-september-2025/articleshow/91432135.cms

[3] Tata Capital IPO: Key things to know about the company's public offering. (2025). The Financial Express. Retrieved from https://www.financialexpress.com/market/ips/tata-capital-ipo-key-things-to-know-about-the-companys-public-offering/2497233/

[4] Tata Capital IPO: A regulatory compliance milestone and strategic capital-raising exercise. (2025). The Hindu BusinessLine. Retrieved from https://www.thehindubusinessline.com/markets/ipo/tata-capital-ipo-a-regulatory-compliance-milestone-and-strategic-capital-raising-exercise/article36262763.ece

[5] Tata Capital IPO: Here's what you need to know. (2025). CNBC-TV18. Retrieved from https://www.cnbctv18.com/market/stocks/tata-capital-ipo-heres-what-you-need-to-know-2193273.htm

  1. Investors interested in the finance sector may consider subscribing to Tata Capital's initial public offering (IPO) in August 2025, as it aims to raise ₹17,200 crore and lists on stock exchanges to comply with the Reserve Bank of India's regulatory framework for NBFCs.
  2. The Tata Capital IPO consists of a fresh issue of shares and an Offer For Sale (OFS) by existing shareholders, with Tata Sons planning to sell up to 23 crore shares and the International Finance Corporation (IFC) proposing to sell up to 3 crore shares.
  3. A portion of the funds raised from this IPO will be utilized for onward lending to support Tata Capital's growth in the Non-Banking Financial Company (NBFC) sector, further enhancing business opportunities in the finance industry.

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