Tata Sons IPO: Big shareholders are putting pressure, will Tata Sons bring IPO

Tata Group: Tata Group’s parent company Tata Sons has to bring an IPO as per the Reserve Bank of India’s (RBI) Upper Layer NBFC rules. Now its shareholders have also started pressuring Tata Sons to bring an IPO. However, the company has decided not to bring an IPO under any circumstances. It had tried to bring itself out of the purview of Upper Layer NBFC (Non Banking Finance Company) by repaying a loan of Rs 21,813 crore in the financial year 2024. Now it wants to surrender its NBFC registration to RBI so that it remains a Core Investment Company and does not have to bring an IPO.

SP Group demands Tata Sons to launch IPO

Media reports citing sources have claimed that SP Group had pressured Tata Sons to bring an IPO. SP Group has an 18.5 percent stake in Tata Sons. SP Group had raised this issue in the annual meeting of Tata Sons shareholders held on Monday. SP Group believes that listing will increase the value of its stake and it will be able to raise enough capital to reduce its debt. However, Tata Sons is not in favor of this. It hopes that its NBFC registration will be cancelled soon and it will be relieved from bringing an IPO.

Tata Sons wants to make itself a core investment company

However, Tata Group or SP Group are currently refusing to say anything on this issue. RBI had said in its circular that all upper layer NBFCs will have to list themselves on the stock market by September 2025. Due to this, Tata Sons will also have to bring IPO. But, Tata Sons does not want to do this, so it also repaid all its debt early. After this, giving information to RBI, it also applied to register itself as a core investment company. According to the annual report of the financial year 2024, the company’s revenue has jumped 25 percent. It has reached Rs 43,893 crore. Apart from this, its profit has also been Rs 41,116.51 crore.

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