Tata Technologies IPO LIVE Updates: Issue opens today. Check GMP, subscription status on day 1, other key details

Tata Tech IPO subscription status is 16% at 10:18 IST.

Tata Technologies IPO’s retail investors portion has been subscribed 19%, NII portion is subscribed 39%, and Qualified Institutional Buyers (QIB) portion is booked is yet to be booked. Employee portion has been subscribed 2%

Tata Technologies IPO has received bids for 72,72,930 shares against 4,50,29,207 shares on offer, according to data from the BSE.

Tata Tech IPO has reserved not more than 50% of the shares in the public issue for Qualified Institutional Buyers (QIB), not less than 15% for Non Institutional Investors (NII), and not less than 35% of the offer is reserved for Retail Investors. The employee reservation portion has been allocated upto 2,028,342 equity shares, and Tata Motors Ltd shareholders has been reserved upto 6,085,027 equity shares.

Tata Technologies Ltd’s listed industry peers are KPIT Technologies Ltd (with P/E of 80.31), L&T Technology Services Ltd (with P/E of 37.47), and Tata Elxsi Ltd (with P/E of 61.55), as per Red Herring Prospectus (RHP).

Tata Tech IPO’s book running lead managers (BRLM) are JM Financial Limited, Citigroup Global Markets India Private Limited, and Bofa Securities India Limited. The issue’s registrar is Link Intime India Private Ltd.

Tata Technologies IPO price band has been fixed in the range of ₹475 to ₹500 per equity share with a face value of ₹2. The floor price is 237.50 times the face value of the equity shares, and the cap price is 250 times. The price-to-earnings ratio based on diluted EPS for financial year 2023 at the cap price is as high as 32.53 times and at the floor price, 30.90 times.

Tata Tech IPO raised ₹791 crore from 67 anchor investors at the upper price band of ₹500, with a face value of ₹2, for each equity share. There was a good balance of domestic and foreign names in the anchor book. On the anchor day, investments were made by top mutual funds like Aditya Birla MF, Nippon MF, Sundaram MF, Mirae MF, Edelweiss MF, and Canara Robeco MF as well as top foreign investors like Fidelity Funds, Government Pension Fund Global, and Goldman Sachs.

Out of the total allocation of 15,821,071 equity shares to the anchor investors, 7,099,980 equity shares (i.e. 44.88% of the total allocation to the Anchor Investors) were allocated to 17 domestic mutual funds have applied through a total of 39 schemes.

Tata Tech IPO GMP, or grey market premium, is +355. This indicates Tata Technologies share price today is trading at a premium of ₹355 in the grey market on Wednesday, according to investorgain.com.

Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Tata Tech share price is indicated at ₹855 apiece, which is 71% higher than the IPO price of ₹500.

‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.

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