Tata sons does not want to bring ipo approaches RBI to seek regulatory waiver says a report

Tata Group: The Reserve Bank of India (RBI) had implemented new rules for Non-Banking Finance Companies (NBFC) in October, 2021. According to them, it was made necessary for big NBFCs to be listed on the stock exchange within 3 years. Due to the new rules, Tata Group's parent company Tata Sons also has to be listed on the stock market by September 2025. But, Tata Sons is trying to postpone this listing at any cost. At present the company has approached RBI to avoid listing. To postpone the IPO, Tata Sons has told RBI that it has repaid most of its loan. In such a situation, investors waiting for the IPO of Tata Sons may get a shock.

Tata Sons has come in upper layer category

RBI has been tightening the rules since the collapse of IL&FS in 2018. According to the new guidelines, RBI has divided NBFCs into the categories of base layer, middle layer, upper layer and top layer. Tata Sons has been placed in the upper layer category. These upper layer category NBFCs have been given 3 years time by RBI to get listed in the stock market. According to the report of Economic Times, if Tata Sons does not get relief from RBI, then it can become the biggest IPO in the Indian Stock Market.

Tata Sons at fourth position in top 10 NBFCs

Ratan Tata-led Tata Trust has 66 percent stake in Tata Sons. Pallonji Mistry Group has 18.4 percent stake in it. The value of Pallonji Mistry Group's stake is currently estimated at around Rs 198,000 crore. Tata Sons is at fourth position in the top 10 NBFCs of RBI. According to Bloomberg report, if Tata Sons' IPO comes then the valuation of the company will become Rs 8 lakh crore.

Company is trying many methods to avoid IPO

Even before this, it was claimed in many media reports that Tata Sons is trying many methods to avoid IPO. For this the company is also restructuring its balance sheet. The company is considering separating from Tata Capital or restructuring its loan to become debt free. At the end of financial year 2023, the total debt of the company was more than Rs 20 thousand crores. The revenue of Tata Sons has also increased to Rs 35,058 crore. The company's profit has also increased to Rs 22,132.38 crore compared to a year ago.

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