Tata Capital may launch IPO in 2025, seek Jio Financial-like valuation: Report
Tata Group's Tata Capital Ltd is restructuring its operations and expanding its board as part of the Group's plan to take the non-bank lender public, according to the report.
“The Tata group is targeting an IPO for Tata Capital in 2025. The board has been expanded, and mergers of some of the group firms under Tata Capital have been done as a part of the IPO plan," Mint reported citing sources.
The group is reportedly eyeing a similar listing to that of Mukesh Ambani's Jio Financial Services Ltd last month.
“Currently, it is a work in progress, with the IPO process to begin in March 2024 with the appointment of investment bankers," company sources quoted in the report said.
As per the RBI guidelines, an ‘upper-layer’ NBFC must list within three years of being notified.
On September 14, 2023, the Reserve Bank of India (RBI) classified both Tata Capital and parent Tata Sons Ltd among the 16 'upper tier' NBFCs.
Tata Sons, the parent company of the Tata Group, is also likely to get listed soon, which could make it India's biggest one yet. After being classified as an ‘upper-layer’ NBFC by RBI last week, Tata Sons also needs to gear up for its share listing on or before September 2025.
On September 14, the central bank released a list of 15 NBFCs, with Tata Sons and Tata Capital named in the upper tier category, requiring higher regulatory compliance.
