Tata Capital’s price band at Rs 310-326/ share

New Delhi: Non-banking financial company Tata Capital has set the price band for its much-awaited Rs15,512 crore Initial Public Offering (IPO) at Rs310-326 per share, making it the largest issue of the year.At the top end of the band, the non-banking financial company commands a valuation of about Rs 1.38 lakh crore. The maiden public offering will open for subscription on October 6 and close on October 8, with the anchor book bidding scheduled for October 3, according to a public announcement. The IPO, comprising a total of 47.58 crore shares, includes a fresh issue of 21 crore equity shares and an Offer For Sale (OFS) of 26.58 crore shares. At the upper price band, the issue is expected to raise Rs 15,512 crore. Under the OFS component, Tata Sons will offload 23 crore shares, while the International Finance Corporation (IFC) will divest 3.58 crore shares. Currently, Tata Sons holds an 88.6 per cent stake in Tata Capital, while IFC owns 1.8 per cent holding.

Proceeds from the IPO will be used to strengthen the company’s Tier-1 capital base, supporting future capital requirements, including onward lending.