Tata Capital, the flagship NBFC of the Tata Group, is going public. Despite adequately funded by the promoter – Tata Sons, the IPO comes on the back of the RBI-imposed, scale-based listing mandate for ‘Upper Layer’ NBFCs.

The issue, measuring ₹15,512 crore, is India’s largest IPO this year and is a mix of offer for sale (OFS) of ₹8,666 crore and fresh issue worth ₹6,846 crore. Tata Sons and a few other Tata Group entities such as Tata Investment Corporation, Tata Motors, Tata Chemicals and Tata Power together form the promoter and promoter group respectively, holding 89 per cent and 7 per cent of pre-issue share capital. Promoter Tata Sons and public shareholder International Finance Corporation (1.8 per cent pre-issue) are set to offload stake in the OFS. Post-issue, promoter and promote

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