Subscribe to Tata Technologies: Cholamandalam Securities

Cholamandalam Securities, has come out with its report on Tata Technologies. The research firm has recommended to “ Subscribe ” the ipo in its research report as on November 21 2023.

Broker Research

November 21, 2023 / 19:19 IST

IPO

Cholamandalam Securities, IPO report on Tata Technologies

Tata Technologies IPO is a book-built issue of Rs. 3043 Crores. The issue is entirely an offer for sale. The Offer for Sale consists of 60,850,278 (~6.09 Cr) shares of Rs. 2 face value, aggregating up to Rs. 3043 Crores, at the upper end of the price band at Rs. 500 per share. As per the company’s plan, the issue will consist of an offer-for-sale by the investors and promoters. Promoter Tata Motors will offload 4.62 crore equity shares, which is worth Rs 2,314 crore in the offer-forsale. Investor Alpha TC Holdings Pte Ltd will be selling 97.17 lakh shares worth Rs 486 crore. Investor Tata Capital Growth Fund I will sell 49 lakh shares, which is worth Rs 243 crore. Tata Tech has reserved 20.28 lakh shares for its employees and 60.85 lakh shares for the shareholders of Tata Motors.

Valuation and Outlook

Tata Tech showcases impressive revenue CAGR of 36% and PAT CAGR of 62% from FY21 to FY23, surpassing peers like KPIT Tech and LTTS. In Q2FY24, the company posted an EBIT margin of 18.44%, over 100 basis points higher than industry competitors

For all IPO report, click here