Tata Technologies to list on bourses tomorrow 

Tata Technologies is set to be listed on the bourses tomorrow (30 November), in what is the first Tata Group IPO in nearly two decades. Tata Technologies set the IPO price band at Rs 475-500. 

Tata Consultancy Services was the group's last IPO in 2004. 

Tata Technologies, a subsidiary of Tata Motors, is a leading global engineering services company offering product development and digital solutions to global original equipment manufacturers. Its domain expertise is spread across the automotive and other industries, and it leverages this expertise to serve clients in adjacent industries, such as aerospace, transportation, and construction heavy machinery. 

Tata Technologies said its IPO would comprise an offer for sale of 60.9 million shares, representing 15% of its paid-up capital. This is less than the 23.6% stated in the draft prospectus. The company has fixed the price band for its upcoming initial public offer (IPO) at Rs 475–500 per share with a lot size of 30 equity shares and its multiples thereof. 

As per the plans laid out, Tata Capital Growth Fund I and Alpha TC Holdings Pte. Ltd., both existing shareholders, will divest stakes in the company amounting to 2.4% and 1.2%, respectively. The parent company, Tata Motors, intends to divest 4.62 crore shares, which account for 11.41% of its overall ownership in the organisation. Tata Motors has sold approximately 50% of the 8.1 crore shares that were originally outlined in its Draft Red Herring Prospectus (DRHP).

Tata Motors had in October announced entering into share purchase agreements to sell a 9.9% stake in Tata Technologies Ltd. for an aggregate consideration of Rs 1,613.7 crore. TPG Rise Climate is the lead investor for this transaction, which ascribes an equity valuation of Rs  16,300 crore (US$ 2.0 billion) for TTL.TPG Rise Climate is the dedicated climate investing arm of TPG’s $18 billion global impact investing platform. The fund focuses on five climate sub-sectors: energy transition, green mobility, sustainable fuels, sustainable molecules, and carbon solutions.