Tata Technologies marked an impressive debut on Dalal Street, listing at a remarkable 140% premium over the IPO price. The substantial gains transformed the wealth of investors who were allotted shares following the high-demand IPO.

The stock commenced trading at Rs 1,200 on the National Stock Exchange (NSE) and Rs 1,199.95 on the Bombay Stock Exchange (BSE), far exceeding its issue price of Rs 500. The stock’s continued gains post-listing contributed to its remarkable performance.

Tata Technologies’ IPO garnered robust interest across all investor categories, attracting over 73.38 lakh total applications. The public offer was oversubscribed 69.43 times, with qualified institutional buyers (QIBs) booking a record 203.41 times.

Non-institutional investors (NIIs) and retail investors subscribed 62.11 times and 16.50 times, respectively. The IPO, valued at Rs 3,042.52 crore, comprised an offer-for-sale (OFS) of 6.08 crore shares by promoters Tata Motors, Alpha TC Holdings, and Tata Capital Growth Fund 1, with a price band set at Rs 475-500 per share.

Tata Technologies, a pure-play manufacturing-focused engineering research and development company, primarily targets the automotive industry. 

Despite strong demand and the trusted Tata brand, concerns were raised, particularly regarding revenue concentration from the top five clients. These clients contributed 63.9% to the topline in FY23 and 57% in H1 FY24.