In this article we will provide the information related to Tata Technologies IPO Date, GMP, Lot Size, Review & How to Apply etc.
Tata Technologies, a division of Tata Motors, is gearing up to launch its Initial Public Offering (IPO) for general subscriptions, anticipated to commence at the beginning of October 2023.
This IPO is set to offer up to 95,708,984 equity shares at a price of ₹2 per share. Notably, Tata Motors is offering the maximum number of equity shares for sale, which stands at 81.13 million.
Alpha TC Holdings Pte and Tata Capital Growth Fund I are offering 9.72 million and 4.86 million equity shares, respectively.
The allocation for retail investors is 35%, while High Net Worth Individuals (HNIs) get 15%, and Qualified Institutional Buyers (QIBs) get 50%.
TATA TECHNOLOGIES IPO DATE
Rajesh Sinha, Senior Research Analyst at Bonanza Portfolio, delved into the specifics of the Tata Technologies IPO.
He highlighted that Tata Technologies reported a trailing twelve months (TTM) revenue of ₹3,983 crore and a TTM net profit of ₹513 crore, resulting in a TTM earnings per share (EPS) of ₹12.65.
 Drawing a comparison to Cyient, another major player in the industry with a TTM revenue of ₹6,016 crore, it’s worth noting that Cyient’s TTM EPS stands at ₹46.52.
Cyient’s shares are currently trading at 23.5 times its TTM EPS. By assigning Tata Technologies a 10% discount compared to Cyient’s multiple of 21.2x TTM EPS, an intrinsic value of ₹268 per share is derived, leading to a market capitalization of ₹10,852 crore.
This marks a significant event, as Tata Technologies Limited is a relatively new addition to the Tata Group and operates as a subsidiary of Tata Motors.
With regulatory approval from the Securities and Exchange Board of India (SEBI), the stage is set for the Tata Technologies IPO to make its debut on the Indian Stock Exchange, marking the first such instance in over 19 years for a Tata Group company.
TATA TECHNOLOGIES IPO GMP
The grey market premium (GMP) for the Tata Technologies IPO is currently ₹100, holding steady from the previous week, according to market observers.
They note that despite fluctuations in Dalal Street, the GMP for Tata Technologies IPO has remained unchanged. It is worth mentioning that the GMP for the Tata Technologies IPO had initially dropped to around ₹84 at the start of the week. However, by the week’s end, Tata Technologies shares had rebounded to cross the three-digit mark on the unlisted stock market once again.
 As per indications from the grey market, the Tata Technologies IPO might potentially yield a listing gain of more than 35% based on the estimated price of ₹268.
HOW TO APPLY FOR THE TATA TECHNOLOGIES IPO?
If the Tata Technologies IPO has piqued your interest and you’re considering participating, here are the steps to guide you through the application process.
You can apply for the Tata Technologies IPO via Upstox, following these straightforward instructions once the public issue is open for subscription:
Access Your Upstox Account:
Start by entering your six-digit PIN to log into your Upstox account.
Navigate to “Discover”:
Upon successful login, click on “Discover” to explore available options.
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Locate “Invest in IPO”:
 Under the “Discover” tab, you’ll find a section titled “Invest in IPO.” Click on it.
Select “Tata Technologies IPO”:
Within the “Invest in IPO” section, you can find and select the “Tata Technologies IPO” tab.
Enter Required Details:
Provide all the necessary information, such as the “lot size” and “bid price.”
Verify and Apply:
Review the information you’ve entered and click “Apply.”
UPI Authentication:
You will need to authenticate your application using the UPI app.
TATA TECHNOLOGIES IPO OBJECTIVES OF THE ISSUE
The primary objectives of the Tata Technologies IPO are as follows:
Utilization of the Offer Proceeds by Selling Shareholders.
Offer Expenses
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TATA TECHNOLOGIES LOT SIZE FOR IPO
While the official opening date of Tata Technologies’ IPO is expected to be in the first week of October 2023, no official announcement has been made regarding the exact date.
Investors can look forward to obtaining detailed information on the IPO’s price range, equity share price, minimum lot size, and registrar once it becomes available.
This information will be accessible on both the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) platforms, allowing investors to stay informed about the Tata Technologies IPO subscription details.
TATA TECHNOLOGIES IPO REVIEW
Aamar Deo Singh, Head Advisory at Angel One, outlines five compelling reasons to consider applying for the Tata Technologies IPO:
Prominence in Automotive ER&D Services:
Tata Technologies is a major player in the world, providing automotive Engineering Research and Development (ER&D) services.
Diverse Customer Base:
With twelve new energy vehicle start ups and 35 established Original Equipment Manufacturers (OEMs) and tier-I suppliers among its clientele, Tata Technologies has a diversified customer base.
Revenue from Key Customers:
In Fiscal 2022, Tata Technologies’ key customers contributed ₹10,696.45 million, accounting for 40.34% of the total revenue.
End-to-End Solutions for Electric Vehicles:
Tata Technologies offers comprehensive solutions for the research, production, and post-purchase servicing of electric vehicles.
Global Presence:
With clients in Europe, North America, and the Asia Pacific region, Tata Technologies operates on a global scale.
CONCLUSION
Tata Technologies IPO presents an intriguing investment opportunity, with strong fundamentals and promising prospects in the automotive industry. It has garnered significant attention and is poised to make its mark on the stock market.