Tata Stocks dropped by 10%

Published : 11 March 2024

Due to the recent events surrounding Tata Sons' IPO, shares of Tata Chemicals Ltd. and Tata Investment Corporation saw 10% and 5% declines, respectively, on Monday. 

Tata Stocks dropped by 10%

The company is evaluating several possibilities to adhere to the Reserve Bank of India's upper-tier NBFC standards, and a listing by Tata Sons seems unlikely shortly.

Tata Sons IPO to delay

Upper-tier NBFC to list in 3 years

According to RBI guidelines, an upper-tier NBFC must list within three years of being notified, and Tata Sons received notification of this in September 2022. 

Around 80% of Tata Chemicals' total market capitalization is owned by Tata Sons; for Rallis and Tata Investment, that percentage ranges from 16% to 21%. 

80% of Tata Chemicals is owned by Tata Sons

Tata Chemicals' stock increased by more than 40% last week after Spark Capital stated in a report that Tata Chemicals, which holds a 3% interest in Tata Sons, is the most practical approach to profit from the Tata Sons' IPO. 

Tata Chemicals stocks rose by 40% last week

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