Type to search

Tata Tech Unit Valued at $6.4bn in Bumper Trading Debut

Tata Technologies surged past its initial public offer price to end 163% up on the day, to underline what has been a record IPO year in India

Tata Motors logos are seen at their flagship showroom in Mumbai, May 2013. File photo: Vivek Prakash, Reuters.


Shares of India’s Tata Technologies, the first group company to go public in nearly two decades, finished nearly three-times higher on their trading debut on Thursday.

The Tata Motors’ unit, which provides engineering and technology services to auto, aero and heavy machinery makers, beat its peers like KPIT Technologies and L&T Technology Services to be valued at $6.4 billion.

Tata Technologies’ listing-day gains were also among the best since 2021-end, according to LSEG data and analysts.

The shares surged past the initial public offer price of 500 rupees to debut at 1,200 rupees before hitting the day’s high of 1,400 rupees and ending 163% higher at 1,313 rupees.


Also on AF: China Evergrande Chases Last-Gasp Debt Deal as Deadline Looms


“The listing was beyond imagination… and post that, the rally to 1,400 rupees was even more unexpected,” Arun Kejriwal, founder of Kejriwal Research and Investment Services, said, adding that short-term investors could book profits.

The company’s future earnings through a part of financial year ending March 2025 appear to have been discounted at the current valuation, Kejriwal added.

IT services provider Tata Consultancy Services, which listed in 2004, was the last Tata Group company to go public.

India has seen a record 201 IPOs so far this year, while share benchmarks have scaled record highs on improving economic growth prospects.


  • Reuters with additional editing by Sean O’Meara


Read more:

Tata to Assemble iPhones in India After $125m Wistron Deal

India’s Tata to Build $5 Billion EV Battery Gigafactory in UK

India’s Tata Steps Up EV Push With $1.6bn Battery Plant Deal

Tata Motors Shares Plunge on Microchip Supply Problems



Sean O'Meara

Sean O'Meara is an Editor at Asia Financial. He has been a newspaper man for more than 30 years, working at local, regional and national titles in the UK as a writer, sub-editor, page designer and print editor. A football, cricket and rugby fan, he has a particular interest in sports finance.


AF China Bond