IPO to Value Tata Capital at $11 Billion

THE MEGA INITIAL public offering (IPO) of Tata Capital could value the Tata Sons-backed NBFC at around $11 billion, sources said.

- PRESS TRUST OF INDIA

The size of the issue, updated draft papers for which were filed late on Monday, is estimated at $2 billion (₹17,200 crore).

According to the updated draft red herring prospectus (DRHP), the proposed IPO of 475.8 million shares comprises a fresh issue of 210 million shares and an offer for sale (OFS) of 265.8 million shares. Under the OFS component, Tata Sons will offload 230 million shares while the International Finance Corporation (IFC) will divest 35.8 million shares.

Currently, Tata Sons holds an 88.6% stake in Tata Capital, while IFC owns 1.8%.