18 years after the last IPO of a Tata group company came out, another firm in the prestigious group is planning to finally go public.
After the IPO of Tata Consultancy Services in the year 2004, now its the turn of Tata Motors’ global product engineering and digital services subsidiary Tata Technologies to go for an IPO, as per ET report. The firm has appointed bankers for IPO, according to reports.
This could be the first public float from the Tata Group since 2004’s IPO of India’s largest software services exporter, TCS.
According to the reports, Tata Motors has appointed Citigroup to explore options for the public issue.
TOI
While Tata Motors holds a 72.48% stake in Tata Technologies as of March 31st 2022, Alpha TC Holdings and Tata Capital Growth Fund own 8.96% and 4.48%, respectively, as per ET.
Its other investors include Tata Motors Finance, Tata Enterprises Overseas, Zedra Corporate Services, and Patrick Raymon McGoldrick.
For the fiscal year ended March 31st 2022, the company had reported a 48% jump in revenues to ₹3,530 crore, while profits surged 83% to ₹437 crore.
Tata Motors’ arm Tata Technologies reportedly employs 9,300 people across the world, serving clients from facilities in North America, Europe, and the Asia Pacific region.
The company is said to have 18 global delivery centres and four business segments: engineering, research, and development (ER&D) services, digital enterprise solutions (DES), education offerings, and value-added reselling and iProducts offerings.
As per Business Standard report, Tata technologies is planning to list its shares in the current financial year 2022-23 and use the proceeds to expand its business to new clients.
For the uninitiated, Tata Technologies Limited (TTL) is a global product engineering and digital services company founded in the year 1989.
ET/agencies
Also Read: Ratan Tata Turns 84 -One Mistake That Cost Tata Motors Thousands Of Crores
Tata Sky IPO Soon?
As per ET report, Tata Sky, another Tata Group company, is also planning to launch its IPO to provide an exit to investors, including Disney. The satellite television business has yet to file its draft red herring prospectus with the capital markets regulator, the Securities and Exchange Board of India (SEBI).
Also Read: TCS Announces Quarterly Results, Profit Rises 5.2% To Rs 9,478 Crore In April-June 2022
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