Tata Capital Q1 Result: IPO-bound firm's profit more than doubles to ₹1,041 crore

In the same quarter last year, the IPO-bound company had reported a profit of ₹472.21 crore.

Total income rose to ₹7,691.65 crore for the quarter under review from ₹6,557.40 crore logged in the April-June quarter of FY2025, Tata Capital said in a regulatory filing.

Earlier in August 2025, Tata Capital filed its preliminary papers with the markets regulator, the Securities and Exchange Board of India (SEBI), to raise funds through an initial public offering.

According to the updated draft red herring prospectus, the proposed IPO is a combination of a fresh issuance of 21 crore equity shares as well as an offer for sale of 26.58 crore shares.

Under the OFS, Tata Sons will offload 23 crore shares, and the International Finance Corporation will divest 3.58 crore shares.

Tata Capital had filed IPO papers via the confidential route in April and had secured SEBI's approval in July. Following this, companies are required to file an updated DRHP before filing an RHP.

The offer's book-running lead managers are Axis Capital Ltd., Kotak Mahindra Capital Company, BNP Paribas, HDFC Bank Ltd., HSBC Securities and Capital Markets (India) Pvt. Ltd., Citigroup Global Markets India Pvt. Ltd., ICICI Securities Ltd., IIFL Capital Services Ltd., SBI Capital Markets Ltd., and J.P. Morgan India Pvt. Ltd.

MUFG Intime India serves as the registrar.

The size of the issue, as per reports, is $2 billion (₹17,200 crore). This would value the company at around $11 billion.

Tata Capital IPO: Objectives

The funds raised will be utilised for augmentation of the company's Tier-1 capital base to meet future capital requirements, including onwards lending.

"In addition, our company expects to receive the benefits of the listing of the equity shares on the stock exchanges, including enhancement of our company’s brand name and creation of a public market for our equity shares in India," it said.

Tata Capital is a flagship financial services company of Tata Group and a subsidiary of Tata Sons. It is India's third-largest diversified NBFC, with total gross loans of ₹2,265.5 billion as of March 31, 2025.

Its lending business comprises retail finance, corporate finance and SME financing.