Have you been eagerly waiting for the IPO of an internationally renowned engineering services company? Then, you should be aware that Tata Technologies is going to open its Initial Public Offering (IPO) on 22nd November 2023. It’s a reputed engineering services company that offers product development assistance and digital solutions to equipment manufacturers.
According to its DRHP (Draft Red Herring Prospectus), the Tata Technologies IPO is a 100% Offer for Sale. Read on to know more about it.
About Tata Technologies
Tata Technologies is an engineering services company that offers digital solutions, turnkey solutions, and product development assistance to its clients. The company strives to create value for its clients by providing them with all sorts of help to develop safer and cleaner products.
Tata Technologies has specialised knowledge in the automotive industry. By leveraging its knowledge and experience, it serves companies in the aerospace, construction, heavy machinery, and transportation industries. The company boasts of a diverse team with multiple skill sets which helps it to address complicated engineering problems for its clients.
The main business line of Tata Technologies happens to be products and education businesses, collectively referred to as ‘technology solutions.’ The company also resells third-party software through its products business and offers its clients various value-added services. Some of the services it provides include consulting, implementation, systems integration, and support.
Tata Technologies IPO Details
This Initial Public Offering is a 100% OFS (Offer for Sale). Tata Technologies will not be receiving any proceedings from this IPO.
Tata Motors has a 74.69% stake in this company
Check the table below to know about the details of Tata Technologies IPO:
| Opening and Closing Date | 22 November 2023 to 24 November 2023 |
| Listing Date | 5 December 2023 |
| Face Value | Rs. 2 per share |
| Price Band | Rs. 475 to Rs. 500 |
| Lot Size | 30 shares |
| Total Issue Size | 60,850,278 shares of ₹2 (aggregating up to ₹3,042.51 Cr) |
| Offer for Sale | 60,850,278 shares of ₹2 (aggregating up to ₹3,042.51 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing at | BSE and NSE |
| Share Holding Pre-Issue | 405,668,530 |
| Share Holding Post-Issue | 405,668,530 |
Tata Technologies IPO Reservation
| Investor Category | Shares Offered |
| QIB Shares Offered | Not more than 50% of the Net Issue |
| Retail Shares Offered | Not less than 35% of the Net Issue |
| NII (HNI) Shares Offered | Not less than 15% of the Net Issue |
Tata Technologies IPO Timeline
| Anchor Investor Allocation Date | 21 November 2023, Tuesday |
| IPO Opening Date | 22 November 2023, Wednesday |
| IPO Closing Date | 24 November 2023, Friday |
| Basis of Allotment | 30 November 2023, Thursday |
| Initiation of Refunds | 1 December 2023, Friday |
| Credit of Shares to Demat account | 4 December 2023, Monday |
| Listing Date | 5 December 2023, Tuesday |
| Cut-off time for UPI Mandate Confirmation | 24 November 2023, Friday (5 P.M) |
Tata Technologies Lot Size
| Application | Lots | Shares | Amount |
| Retail (min) | 1 | 30 | ₹15,000 |
| Retail (max) | 13 | 390 | ₹1,95,000 |
| S-HNI (min) | 14 | 420 | ₹2,10,000 |
| S-HNI (max) | 66 | 1,980 | ₹9,90,000 |
| B-HNI (min) | 67 | 2,010 | ₹10,05,000 |
Why Should You Invest in Tata Technologies IPO?
Are you wondering about the qualitative factors that will propel you to invest in the IPO of Tata Technologies? Check the factors below:
- The company is an industry leader when it comes to expertise in the automotive industry.
- Tata Technologies boasts of strong digital capabilities enhanced by proprietary accelerators.
- The company has marquee clients across various anchor accounts, new energy vehicle companies, and traditional OEMs (Original Equipment Manufacturers).
- Tata Technologies has a global delivery model that facilitates scalability and intimate client engagement.
- The company has a proprietary e-learning platform that uses its manufacturing domain knowledge to enter the reskilling and upskilling market.
- The brand name is well-recognized and highly respected. The knowledge and experience of its promoters, board of directors, and management team have acted as a catalyst in the growth and development of Tata Technologies.
Risk Factors You Need to Know
Please don’t forget to take into account the risks involved with investing in Tata Technologies IPO:
- A significant portion of the revenue of Tata Technologies comes from its top 5 clients. If these entities stop doing business with the company or reduce their orders, it will have an adverse impact on the business of Tata Technologies.
- Moreover, Tata Technologies depends highly on clients concentrated in the automotive sector for a substantial portion of its revenue. If this segment is struck by recession or even economic slowdown, there will be an adverse impact on the business of the company.
- Tata Technologies expects revenue to come in from new energy vehicle companies. However, most of these are start-up companies and there is no assurance that the businesses will succeed. If there is any adverse impact on the business of these companies, the overall income of Tata Technologies will be negatively impacted.
Why Choose Bajaj Financial Securities to Invest in IPOs?
You must have a demat (Dematerialisation) account to invest in Tata Technologies IPO. Apart from helping in the easy transfer of shares, a demat account helps in storing multiple investments. You can easily open this digital account through Bajaj Financial Securities.
Here are the reasons why you should choose Bajaj Financial Securities to invest in an IPO:
- It’s Completely Free
You can use the Freedom Subscription Pack to open a free demat and trading account. While there are no charges in the first year, you have to pay Rs. 365 + GST only as an account renewal charge from the second year onwards.
- It Offers a Full Trading Experience
You can easily trade in equity cash and derivatives through your BFSL Demat and Trading Account. Moreover, there are scanners that you can use to filter stocks on technical charts and get hold of the recommended list of shares.
- It Offers Seamless Services
Bajaj Financial Securities is renowned for its seamless and fast service. There’s a self-service portal that you can easily access to upload all of your details such as email ID, subscription plan upgrade, bank account, segment addition, etc.
Final Word
You should be aware of the details of Tata Technologies IPO if you are interested in investing in it. You can consider opening a Demat and trading account at Bajaj Financial Securities to invest in the IPO of Tata Technologies easily. It will be quite an easy and seamless process and what’s more? The account is completely free.
Frequently Asked Questions
1. Why is BFSL the ideal trading platform for equity, cash, and derivatives?
Bajaj Financial Securities Limited (BFSL) is a subsidiary of Bajaj Finance Limited, one of the largest NBFCs in India. It’s a trusted brand with a strong liquidity position and various product offerings. BFSL offers secured technology and advanced platforms through which you can trade in equity, cash, and derivatives at competitive brokerage rates.
2. What are the documents required to open a Demat account at BFSL?
PAN card, passport size photograph, eSignature, bank proof, address proof, and income proof are some of the documents required to open a Demat account at BFSL.
3. When will Tata Technologies IPO be open?
Tata Technologies IPO will be open on 22nd November 2023, Wednesday.
4. Which financial entity is the book-running lead manager of Tata Technologies IPO?
JM Financial Limited and BofA Securities India Limited are the book-running lead managers of Tata Technologies IPO.
