Tata Capital Share Price, IPO Listing, GMP Highlights: The much-anticipated Tata Capital share price has listed at 1.23% premium to the issue price. The shares listed at Rs 330 per share on NSE, while the BSE listing rate is also the same at Rs 330 per share.
| Tata Capital IPO | Key Details |
| Listing price | Rs 330 |
| Issue price | Rs 326 per share |
| GMP | 0% |
| IPO Allotment date | October 9 |
| Listing date | October 13 |
Tata Capital IPO size, structure
The Rs 15,511.87 crore Tata Capital IPO is a fully book-built issue comprising a fresh issue of 21 crore shares worth Rs 6,846.00 crore and an OFS, or offer for sale, worth Rs 8,665.87 crore comprising 26.58 crore shares.
Tata Capital: Key risks to consider
Tata Capital is one of the fastest-growing NBFCs in the country. However, there are some key risks to the business model that investors must watch out for even after the listing. These include-
-Asset quality pressure: Tata Capital has acquired the business of Tata Motors’ vehicle finance (TMFL). This has high gross and net NPA. Any rise in delinquency/defaults by customers may impact operations.
-Credit rating: Any potential downgrade in Tata Capital’s credit ratings can impact its borrowing and leverage capacity. It may also impact its overall borrowing costs and hurt market access.
-Technology and cybersecurity risk: As was borne out by the recent cyberattack on Tata Motors’ UK arm, Jaguar Land Rover, the increasing digitisation can expose the company to risks of cyberattacks, data breaches, and IT system failures. This is something investors need to be mindful of.
Tata Capital Share Price, IPO Listing, GMP Live: Tata Capital listing today
The Tata Group’s diversified financial arm is all set to hit the bourses today, October 13. Tata Capital’s initial issue is priced at 4.1x TTM P/B, compared to the peer average of 3.7x TTM P/B. “On comparing its valuation and return profile of 4.1x P/B and 1.9% RoA, compared to the peer average of 3.7x P/B and 3% RoA, it appears fairly valued,” said Deven Choksey Research in an IPO note.