The Tata Group, renowned for its diverse business ventures and global presence, is gearing up for an exhilarating year of initial public offerings (IPOs) in 2024. Following the remarkable success of Tata Technologies’ IPO in 2023, the company plans to list more companies across various industries.
Here’s a closer look at these upcoming IPOs and what makes each of them noteworthy.
Tata Autocomp Systems
Tata Autocomp Systems, a major player in the automotive component sector, is set to make its debut on the stock exchange. The company experienced impressive growth in 2023, with revenue soaring by 56.5% to INR 11,170 crore, up from INR 7,133 crore in 2022. Profits also surged from INR 466.3 crore to INR 783 crore. Tata Autocomp operates 51 manufacturing facilities globally, covering India, North America, Latin America, Europe, and China. It specializes in designing, developing, and supplying auto components for both passenger and commercial vehicles under the brand name “AUTOCOMP.”
Tata Advanced Systems
Tata Advanced Systems Limited (TASL), a wholly-owned subsidiary of Tata Sons, is another key player in the upcoming IPO wave. Founded in 2007, TASL is dedicated to aerospace and defense manufacturing, including military vehicles, radars, missiles, and unmanned aerial vehicles. The company reported a revenue increase of 15.7% in FY 2023, reaching INR 3,527 crore. Profits also grew from INR 25.46 crore to INR 34.73 crore during the same period. This IPO will provide investors with a unique opportunity to participate in a high-tech, defense-oriented business.
Tata Capital
Tata Capital, established in 2007 and a subsidiary of Tata Sons, is preparing for its IPO with ambitious goals. The company, which operates as a systemically important deposit-accepting non-banking financial company, boasts a loan book of INR 1,20,940 crore, with 76% of these loans being secured. In FY 2023, Tata Capital achieved its highest-ever profit of INR 2,975 crore, reflecting a remarkable 80% year-on-year growth. While the official valuation for the upcoming IPO is still under wraps, Tata Capital aims to match the valuation of Jio Financial Services, which was around INR 10,000 crore in 2023.
BigBasket
BigBasket, a leading online grocery delivery service under the Tata Group umbrella, is also gearing up for an IPO. According to statements from BigBasket’s CFO, Vipul Parekh, the company plans to go public within the next 24 to 36 months, potentially in late 2024 or early 2025. BigBasket has achieved profitability in its scheduled grocery delivery business and is nearing profitability with its daily operation, BB Daily. This IPO will offer investors a chance to invest in one of India’s leading e-commerce platforms.
Tata Play
Tata Play, a prominent content distribution platform in India, is on track to launch its IPO this year. As of March 2023, Tata Play served 21.3 million subscribers, holding a significant 32.65% share of the country’s direct-to-home (DTH) market. Despite facing challenges in FY 2023, including a net loss of INR 105 crore and a 5.1% drop in revenue to INR 4,499 crore, Tata Play remains a significant player in the OTT and Pay TV sectors. The exact details of the IPO are yet to be announced, but it’s highly anticipated by investors.
As Tata Group continues to expand its footprint across diverse sectors, these upcoming IPOs present a broad range of investment opportunities. From automotive components to advanced defense systems, financial services, online grocery retail, and content distribution, 2024 promises to be an exciting year for Tata Group and its investors.
