Tata Investment shares jump 8% as reports hint Tata Capital IPO nearing Sebi nod

Tata Investment rallies as Tata Capital inches closer to SEBI nod for IPO

Shares of Tata Investment Corporation rallied 8 percent to Rs 7,150 per share on June 6 after reports suggested that Tata Capital is likely to receive approval from the Securities and Exchange Board of India (SEBI) for its upcoming initial public offering (IPO) worth nearly Rs 17,200 crore (equivalent to about $2 billion).

The rally in Tata Investment Corporation stock comes amid optimism that the Tata Capital IPO could unlock further value for investors and strengthen the group’s financial services presence in public markets.

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According to reports, SEBI has finalised its review process, and an observation letter is expected within the next few weeks, which would officially clear the way for Tata Capital’s IPO. The listing would help the company meet the Reserve Bank of India’s September deadline for publicly listing non-banking financial companies (NBFCs) classified under the ‘upper layer’ framework.

The IPO will comprise a fresh issue of equity shares along with an offer for sale (OFS) by existing shareholders. If successful, the IPO will become the largest in India’s financial sector so far and will mark the Tata Group’s second market debut in recent years, following Tata Technologies’ listing in November 2023.

Tata Capital has been showing strong financial performance ahead of the IPO. For the March 2025 quarter, the company reported a 31 percent year-on-year increase in consolidated profit after tax (PAT), rising to Rs 1,000 crore from Rs 765 crore a year ago. Revenue from operations for the same quarter surged by nearly 50 percent to Rs 7,478 crore, compared to Rs 4,998 crore in the year-ago period.

For the full financial year 2024-25, PAT rose to Rs 3,655 crore from Rs 3,327 crore in FY24, while total revenues climbed to Rs 28,313 crore from Rs 18,175 crore.

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