Tata Capital shares make a muted stock market debut; stock lists at 1.23% premium

Shares of Tata Capital made a muted stock market debut on Monday, October 13 as the Tata Group's non-banking financial arm was settled at Rs 330, a mild premium of 1.23 per cent over issue price of Rs 326 on both BSE and NSE. Investors made a profit of Rs 184 on each lot 46 equity shares worth Rs 14,996.

Listing of Tata Capital has been slightly better than the expectations, considering its weak signals based on its grey market premium (GMP). Ahead of its listing, Tata Capital was exchanging hands at a discount of 1-2 in the unofficial market, suggesting another subdued listing for the investors.

The IPO of Tata Capital ran for bidding 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 were the book running lead managers of Tata Capital IPO and MUFG Intime India served as the registrar of the issue.