Tata Capital Secures ₹4,641 Crore from Anchor Investors Ahead of Record-Breaking IPO

Tata Capital has successfully raised ₹4,641 crore from anchor investors in anticipation of its upcoming initial public offering (IPO). The Life Insurance Corporation of India (LIC) emerged as the largest buyer, underscoring strong institutional confidence in the company. This anchor investment accounts for approximately 30% of the total ₹15,511 crore IPO value, positioning it as the largest-ever IPO by a non-banking financial company (NBFC) in India.

Strategic Pricing and Market Valuation

The IPO committee of Tata Capital approved the allotment of 14.23 crore equity shares at ₹326 per share, which includes a ₹316 premium on a face value of ₹10. The price band for the IPO is set between ₹310 and ₹326 per share, valuing the company between ₹1.32 lakh crore and ₹1.38 lakh crore. This pricing strategy is notably lower than the company’s shares traded in the unlisted market, a move analysts attribute to attracting a broader base of investors and ensuring full subscription, especially amid volatile market conditions. The Times of India

Investor Participation and IPO Details

The IPO will be open to subscribers from October 6 to October 8, 2025, with anchor investor bids starting on October 3. Investors are required to bid for a minimum of 46 shares. The strong interest from anchor investors, including LIC, highlights market confidence in Tata Capital’s public offering and its strategic positioning in the financial services sector.

Conclusion

Tata Capital’s successful anchor investment round sets the stage for what is poised to be a landmark IPO in India’s financial landscape. The backing from prominent investors like LIC not only reflects confidence in Tata Capital’s business model and growth prospects but also signals a positive outlook for the broader NBFC sector. As the IPO approaches, all eyes will be on the subscription response and the company’s performance in the public market.