Shares of India’s Tata Technologies settled nearly three-fold higher on their trading debut on Thursday, November 30. Tata Technologies is the first Tata Group company to go public in nearly two decades. Tata Technologies is Tata Motors‘ unit, which provides engineering and technology services to auto, aero and heavy machinery makers. IT services provider Tata Consultancy Services, which listed in 2004, was the last Tata Group company to go public.
Tech IPOs that the listing beat
Tata Technologies’ valuation has topped that of its peers KPIT Technologies, L&T Technology Services and sister Tata Group company Tata Elxsi, which are valued between 409 billion rupees and 514 billion rupees.The company is valued at $6.4 billion.
201 IPOs and counting
The Tata Technologies IPO comes as India logs a record number of listings in 2023. India has seen a record 205 IPOs so far this year. The IPO of Tata Technologies was fully subscribed within minutes of opening for bidding. Tata Technologies’ public issue was entirely an Offer For Sale (OFS) of 6.08 crore equity shares. on Wednesday last week. The public issue had a price band of Rs 475-500 per share.
Tata Technologies looking to expand in these areas
Tata Technologies provides engineering research and development services along with product development and digital solutions to global OEMs and their key suppliers. The company is looking to expand into aerospace, transportation and electric vehicles. Its automotive business delivers about 70% of sales, with Tata Motors and JLR among key clients and Vietnam’s Vinfast emerging as a major customer.
(With agency inputs)