The issue, which will open for anchor investors on October 3, will close on October 8. This would be the country’s biggest public offering since Hyundai Motor India‘s ₹27,870 crore, or $3.3 billion, issue last year.
The company will issue up to 210 million fresh equity shares, while existing shareholders will offload up to 265.8 million shares.
Tata Sons, which controls a dominant stake in the non-banking financial company, will remain the primary shareholder post-issue. Other investors include the International Finance Corporation (IFC), along with group entities such as TMF Holdings, Tata Investment Corporation, Tata Motors, Tata Chemicals and Tata Power.
The funds from the fresh issue will be used to strengthen Tier-I capital and support future lending growth.
The offering will add to a busy IPO season for financial services firms. HDB Financial Services and Bajaj Housing Finance have already tapped the market in line with RBI rules. The Reserve Bank of India had directed large non-banking finance companies (NBFCs) like Tata Capital to list their shares by September to bring greater transparency and reduce risks in the system. Kotak Mahindra Capital, Citi, Axis Capital, JP Morgan, HSBC Securities, ICICI Securities, IIFL Capital, BNP Paribas, SBI Capital, and HDFC Bank are book running lead managers to the issue.
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