Tenneco Clean Air India, the Indian arm of US-based automotive component giant Tenneco Group, has successfully raised INR 1,080 crore from anchor investors on 11 November 2025, just a day before the opening of its initial public offering (IPO). The strong anchor response signals solid investor confidence in the Tier I automotive component supplier’s forthcoming market debut.
Tenneco Clean Air Anchor Allotment and Structure
Tenneco Clean Air anchor book, comprising 2,72,04,030 equity shares, was allotted to 58 anchor investors at the upper end of the IPO price band — INR 397 per share (including a premium of INR 387). The total anchor allocation translates to approximately INR 1,079.99 crore.
Among these, 1,47,31,440 equity shares, or 54.15% of the anchor portion, were allocated to 17 domestic mutual funds across 41 schemes — underscoring robust institutional participation from India’s leading fund houses.
Prominent domestic investors included:
- SBI Mutual Fund
- ICICI Prudential Mutual Fund
- HDFC Mutual Fund
- Kotak Mahindra Mutual Fund
- Axis Mutual Fund
- Tata Mutual Fund
- Motilal Oswal Mutual Fund
- Canara Robeco Mutual Fund
- Invesco India
- Quant Mutual Fund
- Edelweiss Mutual Fund
- Sundaram Mutual Fund
Major global participants comprised Nomura Funds Ireland, Fidelity, BlackRock Global Funds, Government Pension Fund Global (Norway), Abu Dhabi Investment Authority, Aranda Investments, and Goldman Sachs Funds.
Tenneco Clean Air Top Anchor Allocations
Among the largest individual allocations were:
- Nomura Funds Ireland – India Equity Fund: 6.12%
- Aranda Investments: 5.00%
- BlackRock Global Funds – India Fund: 5.00%
- Government Pension Fund Global: 5.00%
- Abu Dhabi Investment Authority – Monsoon: 5.00%
- Goldman Sachs India Equity Portfolio: 5.00%
- SBI Automotive Opportunities Fund: 3.24%
- HDFC Children’s Fund: 2.87%
- ICICI Prudential MNC Fund: 2.78%
These allocations underline the global appeal of Tenneco’s India business, which operates as a critical supplier of clean air, powertrain, and suspension systems to both domestic and international automotive manufacturers.
Tenneco Clean Air IPO Details and Structure
The Tenneco Clean Air India IPO will open for public subscription on 12 November 2025 and close on 14 November 2025. The price band has been set at INR 378 to INR 397 per share, with a lot size of 37 shares per bid.
The IPO is entirely an Offer for Sale (OFS) by the promoter, Tenneco Mauritius Holdings, which means the company will not receive any proceeds from the issue. The total issue size is pegged at INR 3,600 crore, marking a revision upward from the initially proposed INR 3,000 crore. The proceeds from the sale will accrue entirely to the selling shareholder.
The issue’s book-running lead managers are JM Financial, Citigroup Global Markets India, Axis Capital, and HSBC Securities and Capital Markets (India), while MUFG Intime India serves as the registrar to the offer.
Investor Categories and Allotment
- Qualified Institutional Buyers (QIBs): Up to 50% of the net offer
- Retail Investors: Minimum 35% of the offer
- Non-Institutional Investors (NIIs): 15% reserved
The share allotment is expected to be finalized by 17 November 2025, and listing is scheduled for 19 November 2025 on both the BSE and NSE.
Tenneco Clean Air IPO Broker Recommendations and Market Sentiment
Market analysts across leading brokerages have rated the IPO as a “Subscribe” or “Subscribe for Long Term”, citing Tenneco’s dominant market position, strong financial performance, regulatory tailwinds, and scalable localization-driven business model.
- Ventura Securities (Subscribe) — “Accelerating Clean Air Solutions and EV Growth in the Automotive Sector.”
- Lakshmishree Investment & Securities (Subscribe for Long Term) — “Strong OEM partnerships and emission-driven growth visibility make it a compelling long-term bet.”
- Aditya Birla Money (Subscribe) — “Leadership in clean air and ride technologies positions Tenneco for multi-year growth.”
- BP Equities (Subscribe) — “Diversified product portfolio, superior return ratios, and global technology access drive valuation comfort.”
- Canara Bank Securities (Subscribe) — “Tier-I leadership, strong R&D linkage, and robust financials justify subscription for both listing gains and long-term holding.”
- Choice Equity Broking (Subscribe) — “Powering cleaner mobility, delivering stronger returns.”
- ICICI Securities (Subscribe) — “Built for the next leg of India’s automotive evolution.”
- Reliance Securities (Subscribe) — “Future-ready emission control leader backed by global technology and multi-segment resilience.”
- SMIFS (Subscribe) — “Entering a multi-year profitable growth cycle supported by regulatory tailwinds and premiumization.”
As of 12 November 2025, the grey market premium (GMP) for Tenneco Clean Air India’s IPO stood at INR 58 per share, indicating that the stock could debut around INR 455, or ~ 15% the issue price. This reflects a strong investor sentiment and positive outlook toward the company’s fundamentals and sector growth prospects.
About Tenneco Clean Air India
Tenneco Clean Air India is a Tier I supplier specializing in clean air, powertrain, and suspension solutions. Established in India in 1979, it operates 12 manufacturing facilities across the country and serves over 100 customers, including Maruti Suzuki India, Tata Motors, Mahindra & Mahindra, Hyundai Motor India, Ashok Leyland, and Royal Enfield.
The company is recognized as India’s largest supplier of clean air systems for commercial vehicles and shock absorbers for passenger vehicles, commanding an estimated 50% market share in its segments.
Conclusion
The anchor investment of INR 1,080 crore in Tenneco Clean Air India ahead of its IPO reflects deep institutional confidence in the company’s technological edge, market position, and growth trajectory. With participation from heavyweight domestic and global funds, the offering is set to be closely watched as a bellwether for investor appetite in India’s automotive components sector amid a recovering market cycle.
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