Rumor has it: Tata Capital plans to secure a higher market value through an initial public offering; Nexus contemplates establishing a fresh venture capital fund.
According to a media report by Bloomberg, Tata Capital Ltd is planning an initial public offering (IPO) with a targeted valuation of $18 billion to $20 billion. If successful, the company could rank as India's fourth-biggest non-banking finance company (NBFC).
Currently, Tata Capital is ranked eighth among India's top 10 NBFCs by market valuation. However, the upcoming IPO is expected to significantly elevate its position. The IPO aims to raise about $2.2 billion and is expected to launch in early September 2025.
The valuation range for Tata Capital's IPO has increased from earlier estimates of around $11 billion. This increase is due to recent positive developments such as a successful rights issue and favorable market response to similar NBFC IPOs.
Tata Capital was classified as an "upper-layer" NBFC in September 2022, requiring listing within three years (by September 2025). This IPO is part of RBI requirements.
Meanwhile, Ahmedabad-based Knack Packaging is also planning to file for an Initial Public Offering (IPO). However, no details have been provided about the valuation for Knack Packaging's IPO, the number of shares to be offered, or the timeline for the IPO.
In a separate development, Good Glamm's restructuring efforts have failed, with lenders taking charge and planning to sell all brands separately. No details have been provided about the number of shares to be offered in Tata Capital Ltd's IPO or the expected price range for the shares.
Elsewhere, Anthem Biosciences, a company backed by True North and Faering, saw a 28% increase on its listing day. No regulatory approvals have been mentioned for Knack Packaging's IPO.
In another interesting development, Milky Mist, a company associated with Anicut, is chasing a rich valuation in its potential IPO. No further details about this potential IPO have been provided.
The information provided in this report is based on a media report by Bloomberg. It is important to note that no potential underwriters for Tata Capital Ltd's IPO or Knack Packaging's IPO have been mentioned.
After its planned IPO, Tata Capital Ltd would become the fourth-largest NBFC in India by market valuation. This ranking places it behind Bajaj Finance Ltd., which has a market value of about $69 billion, and Bajaj Finserv Ltd., but ahead of other NBFCs in the country.
This news marks an exciting time for the Indian financial sector, with several companies looking to make significant moves in the market. As more details about these IPOs emerge, we can expect to see further developments in the coming months.
Tata Capital Ltd's planned IPO targets a valuation of $18 billion to $20 billion, potentially elevating its position from the eighth to the fourth-largest non-banking finance company (NBFC) in India by market valuation. Meanwhile, Knack Packaging is also planning an IPO, but details about its valuation, shares, and timeline are yet to be released.
