Mumbai, India: The Tata Group is preparing for one of the largest-ever first Initial Public Offerings (IPO) in India’s financial history. Tata Capital, the financial services arm of the group, has filed its draft papers with SEBI, for a public issue estimated at $2 billion (~₹17,200 crore).
This IPO is expected to value the company at around $11 billion and is cover to hit the markets in late September 2025, according to filings and market reports.
IPO Details
Fresh Issue: ~21 crore shares
Offer-for-Sale (OFS): ~26.58 crore shares, with Tata Sons and IFC among the key sellers
Target Valuation: $11 billion
Expected Launch: Late September 2025
Despite the excitement, unlisted shares of Tata Capital have seen pressure, falling nearly 8% in the past month, raising concerns about pricing. Experts, however, believe strong brand trust and demand from institutional investors will ensure robust participation.
Why This IPO Matters
Tata Capital’s public debut represents more than just fundraising—it’s a strategic milestone for the Tata Group. It strengthens the conglomerate’s financial services arm at a time when demand for credit, retail finance, and investment products is surging in India’s rapidly growing economy.
Additionally, the IPO comes as the Reserve Bank of India (RBI) continues to nudge Tata Sons, the parent holding company, toward an eventual market listing.
Workforce Restructuring and Layoffs
Amid the IPO preparations, Tata Group companies are also undergoing strategic workforce realignments.
Tata Consultancy Services (TCS): India’s largest IT services company is laying off around 12,000 to 12,260 employees, accounting for nearly 2% of its global workforce. The move mainly impacts middle and senior management roles as the company sharpens its focus on AI-driven operations and efficiency.
Tata Steel: In 2023, a smaller round of layoffs affected 38 employees, primarily related to compliance and conduct issues.
Employee unions, however, have expressed concern that the scale of layoffs could eventually widen, though the company has not confirmed such projections.
While these changes have created short-term disruptions, Tata firms are simultaneously investing in reskilling programs, electric vehicles, renewable energy, and financial technology, opening new avenues for employment.
A Salute to Ratan Tata’s Legacy
The IPO announcement arrives just months after the passing of Ratan Naval Tata, who remains a towering figure in India’s industrial history. Known for his humility, strategic vision, and philanthropy, Ratan Tata was instrumental in taking the group global with landmark acquisitions like Jaguar Land Rover and Corus Steel.
Beyond business, his efforts in education, healthcare, and rural upliftment cemented his reputation as a leader who put people before profit. As the Tata Group steps into a new chapter with its biggest IPO, the nation continues to salute Ratan Tata’s enduring legacy.
Outlook
With IPO roadshows already underway, analysts expect strong interest from both domestic and global investors. If successful, Tata Capital’s debut will not only boost the group’s financial arm but also signal a new era for India’s capital markets.
