Delhi, 13 October (H.S.): Tata Capital, the financial services subsidiary of Tata Sons, experienced a lackluster stock market debut on Monday, offering minimal returns to its initial public offering (IPO) investors. The shares, issued at ₹326, listed at a slight premium of approximately 1 percent at ₹329.30 on the BSE and ₹330 on the NSE.

Throughout the day’s session, the stock traded within a narrow band. It reached an intra-day high of ₹333 on buying support but also dipped to a low of ₹326.15 amid selling pressure. By the market’s close, the shares settled at ₹330.40 on the BSE and ₹330.50 on the NSE.

IPO Subscription Details

The company’s ₹15,511.87 crore IPO, which ran from October 6 to 8, garnered a modest response, getting subscribed 1.96 times overall.The portion for Qualified Institutional Buyers (QIBs) was subscribed 3.42 times.The non-institutional investors (NIIs) category saw a 1.98 times subscription.The retail investors’ portion was subscribed 1.10 times.The employee reservation was subscribed 2.92 times.The public issue consisted of a fresh issue of shares worth ₹6,846 crore and an Offer for Sale (OFS) of 265,824,280 shares. Funds raised from the fresh issue are intended to augment the company’s Tier-1 capital base and for general corporate purposes.

Financial Health

Despite the tepid listing, the company’s financials show strong growth. Net profit increased from ₹2,945.77 crore in fiscal year 2022-23 to ₹3,655.02 crore in 2024-25. For the first quarter of the current fiscal year (April-June 2025), the company posted a net profit of ₹1,040.93 crore on a total income of ₹7,691.65 crore.However, the company’s debt has also expanded significantly, rising from ₹1,13,335.91 crore at the end of FY23 to ₹2,11,851.60 crore as of June 2025. In tandem, its reserves and surplus grew from ₹11,899.32 crore to ₹29,260.88 crore over the same period.

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Hindusthan Samachar / Jun Sarkar