Tata Technologies IPO, as anticipated, turned out to be a blockbuster success for the Tata Group. The IPO, valued at Rs 3,042.51 crore, witnessed an extraordinary subscription rate of 69.4 times. On the final day of bidding, November 24, bids poured in for a staggering 312.4 crore equity shares, far surpassing the modest issue size of 4.5 crore. This remarkable level of interest and oversubscription indicates strong investor confidence and enthusiasm for the Tata Technologies IPO.
The Tata Technologies IPO has generated an overwhelming response from the market, with bids pouring in at a remarkable value of over Rs 1.56 lakh crore.
The Tata Technologies IPO holds special historical significance, marking the Tata Group’s return to the public issue arena since the Tata Consultancy Services IPO in 2004. This long-awaited IPO event quickly gained momentum by achieving full subscription within the first few hours of its launch.
The debut day of Tata Tech IPO was nothing short of spectacular, concluding with a noteworthy 6.34 times oversubscription. Day 2 witnessed an even more impressive surge, with the subscription rate increasing to an outstanding 15.10 times.
On crucial Day 3, the final day of bidding for the Tata Technologies IPO:
- Qualified Institutional Buyers (QIBs) showcased exceptional confidence, subscribing a staggering 203.41 times their allocated portions.
- Non-Institutional Investors (NIIs) demonstrated strong interest with a substantial 62.11 times subscription.
- Retail investors exhibited a robust appetite for Tata Technologies IPO, contributing to a remarkable 16.47 times subscription.
- Tata Technologies employees demonstrated commitment with a subscription rate of 3.69 times their allocated portions.
- Shareholders of Tata Motors showed significant interest, subscribing at an impressive rate of 29.17 times.
Tata Technologies successfully secured Rs 791 crore from a group of 67 investors during the anchor book session on November 21, just a day before the IPO opens for subscription. The funds were raised at the higher end of the Rs 475-500 price band. This strategic move garnered significant support from renowned global investors, including heavyweights like Goldman Sachs, BNP Paribas Funds, HSBC Global, Government Pension Fund Global, Florida Retirement System, Oaktree Emerging Markets Equity Fund, Copthall Mauritius Investment, Franklin Templeton Mutual Fund, SBI Mutual Fund, ICICI Prudential Mutual Fund, SBI Life Insurance Company, Kotak Mutual Fund, Mirae Asset Mutual Fund, and Sundaram Mutual Fund. Their participation in the anchor book session added considerable momentum to Tata Technologies’ financial journey, setting the stage for the IPO’s subsequent opening for subscription.
Shares of the Tata Technologies IPO traded at an 80 per cent premium over the upper price band in the grey market, increasing from a 70 per cent premium a couple of days back, analysts on anonymity said. The grey market, operating as an unofficial platform for trading in IPO shares until the official listing, serves as a key indicator of market sentiment and demand. Typically, investors utilize the grey market premium as a gauge to estimate the anticipated listing price of an IPO.
