Tata Technologies Mops Up Rs 791 Crore From Anchor Investors Ahead Of IPO

Tata Technologies Ltd. has raised Rs 791 crore from anchor investors ahead of its initial public offering.

The engineering services company allotted 1.58 crore shares at Rs 500 apiece to 67 anchor investors.

The marquee investors include Fidelity International, Nippon Life India, BNP Paribas, SBI Mutual Fund, HSBC, Kotak, DSP, Motilal Oswal, Edelweiss, and Goldman Sachs, among others.

SBI Multi Asset Allocation Fund secured 4.30% of the allocation, the highest in the list.

Seventeen domestic mutual funds have applied through a total of 39 schemes, the company said in an exchange filing. They have collectively netted 44.88% of the anchor portion of Rs 354 crore.

ICICI Prudential, Aditya Birla Sun Life, Axis Mutual Fund, Franklin India, Edelweiss, Sundaram MF and Nippon Life India are among the key investors.

Citigroup Global Markets India Pvt., JM Financial Ltd., and BofA Securities India Ltd. were the book-running lead managers for the offer.

Tata Technologies will launch its initial public offering, the first from Tata4, on Nov. 22. The three-day issue is priced in the range of Rs 475–500 per share.

The public issue is expected to fetch Rs 3,042 crore at the upper end of the price band. The IPO consists of an offer-for-sale component of 6.08 crore equity shares by promoters, investors, and other selling shareholders. It has no fresh issue.

Founded in 1994, Tata Technologies is a global engineering services company offering product development and digital solutions, including turnkey solutions, to original equipment manufacturers and their Tier-I suppliers. The company is primarily focused on the automotive industry and is currently engaged with seven out of the top 10 automotive ER&D spenders and five of the top 10 prominent new energy ER&D spenders.