Tata Technologies IPO Debuts In Grey Market At Premium

The de-merged tech arm of Tata Motors, Tata Technologies initial public offering (IPO) date is yet to be announced but it has made its debut in the grey market on Saturday, with inputs from Livemint report.

As per the filed Draft Red Herring Prospectus (DRHP) of Tata Technologies Limited, the company would be offloading up to 9.571 crore shares or 23.60 paid up share capital of the company. In order to raise funds the company filed DRPH to come out with an IPO.

Investors have been trying to figure out Tata Technologies valuation and estimating IPO price. Meanwhile stock market experts expected that Tata Technologies market capitalisation may come around Rs 10,852 crore and the IPO price could be around Rs 268 per share.

At the same time the company IPO made its entry in the grey market (unlisted market) trading at Rs 850 per share. This indicated that the grey market is highly bullish on Tata Technologies IPO and offered at a premium of Rs 582 per share.

Market observers went on to add that grey market's bullishness points that and it is expecting that an investor may expect to get its money doubled on the listing date of this upcoming IPO.

Markets experts are having a positive view on Tata Motors shares and Tata Technologies IPO. The IPO is expected to hit the markets within next two to three months, is going to be beneficial for Tata Motors as it acquired Tata Technologies shares for Rs 7.40 per share, while the weighted average cost of acquisition for Alpha TC Holdings Pte. Ltd and Tata Capital Growth Fund I is Rs 25.10 each

As Tata Motors has the majority stake in the company, and the price band is not yet decided, It is expected that the IPO price would be quoted higher than the rate at which it was acquired, thus Tata Motors would gain the most from it.

About Tata Technologies IPO

Tata Technologies Limited is a subsidiary arm of Tata Motors Limited, a large cap auto company part of Tata Group conglomerate founded in 1989 with headquarters in Pune.

The company offers services in engineering and design, product lifecycle management, manufacturing, product development, and IT service management to automotive and aerospace original equipment manufacturers and their suppliers. The company is active in North America, Europe, the Middle East and the Asia Pacific region. It has 18 global centers across 27 countries

For the nine months ended December 2022, the firm reported revenue from operations of Rs 3,011.79 crore against Rs 2,607.30 crore for the nine months ended December 2021. The profit after tax was reported at Rs 407.47 crore for December 2022, higher than the previous year profit of Rs 331.36 crore.

How to apply?
One can apply for Tata Technologies IPO via ASBA available through bank accounts. Login to online bank an apply by selecting the IPO in invest section. Or download forms available on
NSE and BSE to fill apply for the IPO.