Tata Capital Issue Right Shares At Rs 343: 1/3rd Of Unlisted Price

IPO-bound Tata Capital is giving investors a reality check with its rights issue at Rs 343 per share, which is one-third of its current unlisted share price of Rs 935. The Tata Group-backed NBFC is planning to raise $2 billion (Rs 17,500 crore). This led to the Tata Capital share reducing from trading around Rs 1,000 to Rs 900-950 per share.

What Does The Right Issue Price Signal?

• Even Bajaj Finance, the gold standard among Indian NBFCs, trades at 5.9X  book (PB) while Tata Capital at 18.4 × is pricing in perfection three times over.

• Tata Capital is trading at P/E of 113.1 which is more than 3X of Bajaj Finance P/E (34.5).

Thus, the current Tata Capital Unlisted Share Price of Rs 935 can be significantly overvalued.

Expert View

While it’s not possible to predict the final price Tata Capital may seek, for investors already holding unlisted shares of the company the rights issue price may set a somewhat realistic expectation,” said the investment banker quoted above.

“Going by recent IPOs in the last two-three years, the premium between the IPO and pre-IPO price has mostly been in the 30–50 per cent range,” said another banker.

Tata Capital Share Price Journey

The Tata Capital Unlisted Share Price began gaining momentum on June 23, when SEBI mandated that the NBFC be listed by September 2025. On June 23, the company’s unlisted stock price was around Rs 600 per share. This peaked to Rs 1075 per share on June 25 for the highly anticipated Tata Capital IPO.

RBI’s Mandate On Tata Capital Listing

As per the regulations by the Reserve Bank of India, both Tata Sons and Tata Capital are classified as upper-layer Non-Banking Financial Companies (NBFCs). The shares are to be listed before September 2025.

Tata Capital’s Business Model

Tata Capital is a financial services company. It is a 95% subsidiary of the major Indian conglomerate Tata Sons. Providing a variety of financial products, including:

• Consumer loans

• Commercial Finance

• Private equity services

• Loans against property

• Wealth management services

• Distribution and marketing of Tata Cards

• Home, education, personal, and car loans

Financial Performance Of Tata Capital

• In FY25, Tata Capital’s loan book witnessed a substantial 41% jump, growing from Rs 1,57,761 crore in FY24 to Rs 2,21,950 crore. This is driven by continued expansion across retail, SME, and infrastructure lending segments.

• The Net Interest Income (including fee income) also reflected this momentum due to the expansion of the loan book. The NII  rose by 42.5% from Rs 8,069 crore in FY24 to approximately Rs 11,500 crore in FY25.

• Profitability saw moderate growth, with Profit After Tax (PAT) increasing by 9.9%, from Rs 3,327 crore in FY24 to Rs 3,655 crore in FY25.

• The book value per share improved significantly from Rs 66.38 in FY24 to Rs 91.36 in FY25.

• However, asset quality showed signs of stress as the Gross NPA ratio rose from 1.71% to 2.33%.

Also Read: Tata Capital FY25 Results- Revenue, PAT, Key Analysis

Frequently Asked Questions (FAQs)

Q1. What is the share price of Tata Capital Unlisted Shares? 

The Tata Capital Share Price today is Rs. 1066. Unlisted share prices are subject to fluctuations based on the market trend and the company’s performance.

Q2. Where can I check Tata Capital unlisted share price? 

You can check the share price of Tata Capital unlisted shares on Stockify. We provide updated information on all the latest unlisted shares of blue-chip companies.

Q3. Why should I trust Stockify to buy Tata Capital unlisted shares? 

Stockify is India’s leading platform for buying and selling unlisted shares. We provide a complete analysis of the latest unlisted shares and provide a well-researched and updated price of the unlisted shares. 

Q4. Is Tata Capital a listed company? 

Tata Capital is not yet listed on the stock exchange, so it is not a public listed company. You can buy Tata Capital unlisted shares if you want to invest in the company. Before the company gets listed, you can buy the pre-IPO shares using Stockify. 

Q5. Is it legal to buy Tata Capital unlisted shares in India?

Buying and selling Tata Capital unlisted shares is 100% legal in India; in fact, there are online stock brokers that buy and sell unlisted shares. Stockify is one platform you can use to buy and sell Tata Capital unlisted shares in India.