Tata Technologies outsource engineering and product development IT services globally. Founded by the Legacy of Trust of Tata Group in 1989 and based in Pune, the company has contributed to the leading engineering and designing services of the world’s leading manufacturers, with several subsidiaries in Germany, Bangkok, Thailand, the United Kingdom, etc. The company successfully serves automotive, industrial machinery, aerospace, and other business verticals.
With such offerings, the company has become the global leader in engineering and product development digital services and has shown impressive growth and profitability in FY23. The company’s strategic foresight, operational efficiency and commitment to delivering shareholder value result in a remarkable performance.
Seeing significant growth and development, the Securities and Exchange Board of India (SEBI) approves the Initial Public Offering (IPO) of Tata Technologies. This move has generated huge excitement among potential investors. Are you interested in Tata buying Technologies unlisted shares? Do you want to know the Tata Technologies share price today? Read this blog; it will explain everything about Tata Technologies pre-IPO shares and its future after getting approval from SEBI.
How Does SEBI Approval Impact Tata Technologies?
It is the first time in 19 years Tata Technologies is going public. SEBI permitted it to bring an IPO almost two months after filing the Draft Red Herring Prospectus (DRHP). SEBI approved the company’s request for the IPO after many observations. Tata Technologies’ SEBI approval process involves thoroughly examining the company’s financials, compliance with regulatory requirements and ensuring investors’ protection.
The approval of SEBI for the Tata Technologies pre-IPO shares indicates a vote in the company’s growth and business prospects. The IPO will allow the company to raise funds from the market. The SEBI approval for the company’s IPO clearly means it is credible and safe to invest in.
With the IPO funds, the company can explore the new market and expand its service offerings. IPO can enable Tata Technologies to access new technologies, talent and customer base, fostering overall growth and market expansion. One major factor to note is that an IPO will increase the company’s visibility and credibility, help attract more clients and compete more effectively in the global market.
IPO Details Of Tata Technologies
The last IPO from Tata Group was in 2004, when TCS came out with its IPO. TCS outperformed in its listing, and investors invested in the TCS IPO have made good earnings. Investors have equal expectations from the Tata Technologies IPO too.
Tata Technologies IPO will entirely be an offer for sale (OFS) with no fresh issue components, where the company will set up to 9.57 crore equity shares, almost 23.60% of its paid-up share capital as per the DRHP. According to the sources, the issue size will be around 4000 crores, with 35% reserved for retail investors, 50% for QIB (Qualified Initial Buyers) and 15% for non-institutional investors.
This IPO will give a push to Tata Motors’ growth by selling its equity shares. Tata Motors is a leading company in IT specs like Artificial Intelligence, Machine Learning, Cloud Technologies, etc, which are considered the future of IT services. The IPO of Tata Technologies after 19 Years also represents the generational shift in India Industry.
A Detailed Overview Of Tata Technologies Revenue & Growth
As discussed above, Tata Technologies has been profitable with a strong balance sheet since its inception. However, the pandemic affected the revenue slightly due to the slowdown in the auto industry. Nevertheless, the company has maintained decent RoE and RoCE in the last few years and has been debt-free for the last two years.
For the year ended 2021, the company collected approximately Rs. 2,607 crores. As of March 2022, the company recorded revenue of Rs. 3,012 crores with an operating profit of Rs. 645 crores and PAT of Rs. 437 crores, expected to surge after the SEBI approval of Tata Technologies IPO. The below table will give you an idea of the last three years’ performance of Tata Technologies.
Investing in Tata Technologies unlisted shares is a good decision as the company’s revenue is constantly increasing each year. Investors who want to make great profit through stock should buy Tata Technologies unlisted shares. You should first check the Tata Technologies share price from a reliable platform like Stockify before making the decision.
Is It Good To Buy Tata Technologies Unlisted Shares?
Tata Group has a great track record of consistent returns, forecasting the success of Tata Technologies unlisted shares. The IPO funds, coupled with the company’s proven track record and industry expertise, position Tata Technologies for a promising future. Nonetheless, investors should carefully invest. It is good for investors to check the Tata Technologies share price today on different trading platforms, compare the price, and decide. As of now, Tata Technologies share price is Rs. 1030. Reach an authentic platform like Stockify to be updated with the latest share price.