Tata Capital IPO shares GMP falls ahead of listing; is another subdued listing on cards?

Shares of Tata Capital are set to make their stock market debut on Monday, October 13 but investors should slash their hopes of listing pop from the listing of Tata Group's non-banking arm after a muted bidding response and jittered market sentiments, which are also reflected in the diminishing grey market premium (GMP) of Tata Capital.

Ahead of it listing, Tata Capital's GMP has seen a sharp correction in its grey market premium, fearing a gap-down opening later today. Last heard, the company was exchanging hands at a discount of 1-2 in the unofficial market, suggesting another subdued listing for the investors. The GMP stood around Rs 8-10 on the bidding phase.

The IPO of Tata Capital ran for bdding between October 06-08. The Tata Group firm offered its shares in the price band of Rs 310-326 per share with a lot size of 46 shares. The company raised a total of Rs 15,511.87 crore from its IPO, which included a fresh share sale of 21,00,00,00 equity shares and offer-for-sale (OFS) of up to Rs 8,665.87 crore.

The mega-issue was overall subscribed only 1.95 times, fetching a little more than 23.61 lakh applications, attracting bids for Rs 21,230 crore. The portion for qualified-institutional bidders (QIBs) was subscribed 3.42 times, while employees' quota was booked 2.92 times. The allocations for non-institutional investors (NIIs) and retail investors were subscribed 1.98 times and 1.1 times, respectively.

Mumbai-based Tata Capital is subsidiary of Tata Sons and operates as a NBFC in India, offering a wide range of financial products and services to retail, corporate, and institutional customers. It has an extensive PAN-India distribution network comprising 1,516 branches spanning 1,109 locations across 27 states and UTs as of June 30, 2025.

Brokerage firms were mostly positive on the issue, suggesting to subscribe to it for long-term. Kotak Mahindra Capital, Axis Capital, BNP Paribas, HDFC Bank and Citigroup Global Markets are the book running lead managers of Tata Capital IPO and MUFG Intime India is the registrar of the issue. Shares of Tata Capital shall be listed on both BSE and NSE.