{"id":1279750,"date":"2024-03-08T10:15:04","date_gmt":"2024-03-08T04:45:04","guid":{"rendered":"https:\/\/trak.in\/stories\/?p=1279750"},"modified":"2024-03-08T10:21:43","modified_gmt":"2024-03-08T04:51:43","slug":"tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025","status":"publish","type":"post","link":"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/","title":{"rendered":"Tata Sons’ Mega Valuation Of Rs 11 Lakh Crore Expected Before IPO: Expected Launch By 2025"},"content":{"rendered":"\n

Spark Capital said that Tata Sons Ltd. could potentially be valued at as high as Rs 11 lakh crore in an initial public offering (IPO) expected to take place within a year and a half.<\/p>\n\n\n\n

\"Tata<\/figure>\n\n\n\n

Tata Son\u2019s May Be Valued At Rs 11 lakh Crore In IPO<\/strong><\/p>\n\n\n\n

Here Spark Capital is a venture capital firm in the United States, responsible for early-stage funding startups of consumer, commerce, FinTech, software, frontier, and media sectors.<\/p>\n\n\n\n

The venture capital firm cited a regulation of the Reserve Bank of India that requires NBFC-Upper Layer to mandatorily be listed within three years of getting that tag. <\/p>\n\n\n\n

As per this development, the Tata Group’s holding company will have to list on the exchanges by September 2025 as it has already been classified as an upper-layer non-bank financial company during October 2021. <\/p>\n\n\n\n

According to Spark Capital, Tata Sons Ltd.  is expected to fetch a valuation of Rs 11 lakh crore and its IPO size will likely be around Rs 55,000 crore.<\/p>\n\n\n\n

It’s noted that 80% of Tata Sons’ holdings may not be monetizable, but the process of restructuring could potentially lead to a re-rating of the company’s value, said Spark Capital.<\/p>\n\n\n\n

Adding that 80% of Tata Sons’ holdings may not be monetizable, but the process of restructuring could potentially lead to a re-rating of the company’s value.<\/p>\n\n\n\n

 “We believe that Tata Sons could potentially fetch a value of Rs 7\u20138 lakh crore at current market capitalisations of Tata Group companies,” Spark Capital said.<\/p>\n\n\n\n

What About Market Value?<\/strong><\/p>\n\n\n\n

Notably, the market value of Tata Sons’ listed investments is estimated to be around Rs 16 lakh crore, while the book value of its unlisted investments is approximately Rs 60,000 crore.<\/p>\n\n\n\n

It is noteworthy here that the market value of the unlisted investments could be much higher as the firm\u2019s foray into semiconductors and EV batteries. <\/p>\n\n\n\n

Besides this, Investors are expected to apply a holding company discount of 30\u201360% to Tata Sons’ valuation, as indicated by the range observed for companies like Godrej Industries and Bajaj Holdings.<\/p>\n\n\n\n

It appears that the venture capital firm values Tata Sons at Rs 7.8 lakh crore factoring in a 60% discount of its listed investments.<\/p>\n\n\n\n

This way, it is valuing the unlisted investments at Rs 1.6 lakh crore.<\/p>\n\n\n\n

Saying, \u201c A change in the holding company discount assumption of 10% could lead to a Rs 1.5\u20131.6-lakh \u200b\u200blakh crore change in the equity value of Tata Sons.” <\/p>\n\n\n\n

Further, the note suggests that the intrinsic valuation of Tata Chemicals is 11 times the FY25 PE.<\/p>\n\n\n\n

One can observe that the valuations have been suppressed.<\/p>\n\n\n\n

It is given to the fact that the commodity nature of the soda ash and the potential headwinds faced by the industry due to falling realizations. <\/p>\n\n\n\n

According to the note, the street should assign a Rs 10\u201311-lakh crore valuation to Tata Sons.<\/p>\n\n\n\n

This could also affect the intrinsic valuation of the listed Tata Chemicals business, which is 5\u20137 times its FY25 earnings.<\/p>\n\n\n\n

This valuation could potentially increase (re-rate) if the investment is liquidated either at or post-IPO.<\/p>\n","protected":false},"excerpt":{"rendered":"

Spark Capital said that Tata Sons Ltd. could potentially be valued at as high as Rs 11 lakh crore in an initial public offering (IPO) expected to take place within a year and a half. Tata Son\u2019s May Be Valued At Rs 11 lakh Crore In IPO Here Spark Capital is a venture capital firm […]<\/p>\n","protected":false},"author":27,"featured_media":1279756,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[1081,1510],"class_list":["post-1279750","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-ipo","tag-tata-sons"],"acf":[],"yoast_head":"\nTata Sons' Mega Valuation Of Rs 11 Lakh Crore Expected Before IPO: Expected Launch By 2025 - Trak.in - Indian Business of Tech, Mobile & Startups<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Tata Sons' Mega Valuation Of Rs 11 Lakh Crore Expected Before IPO: Expected Launch By 2025 - Trak.in - Indian Business of Tech, Mobile & Startups\" \/>\n<meta property=\"og:description\" content=\"Spark Capital said that Tata Sons Ltd. could potentially be valued at as high as Rs 11 lakh crore in an initial public offering (IPO) expected to take place within a year and a half. Tata Son\u2019s May Be Valued At Rs 11 lakh Crore In IPO Here Spark Capital is a venture capital firm […]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/\" \/>\n<meta property=\"og:site_name\" content=\"Trak.in - Indian Business of Tech, Mobile & Startups\" \/>\n<meta property=\"article:published_time\" content=\"2024-03-08T04:45:04+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-03-08T04:51:43+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/trak.in\/stories\/wp-content\/uploads\/2024\/03\/Untitled-design-7-1-1-1-1280x720-1.jpeg\" \/>\n\t<meta property=\"og:image:width\" content=\"1280\" \/>\n\t<meta property=\"og:image:height\" content=\"720\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Sheetal Bhalerao\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Sheetal Bhalerao\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/\",\"url\":\"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/\",\"name\":\"Tata Sons' Mega Valuation Of Rs 11 Lakh Crore Expected Before IPO: Expected Launch By 2025 - Trak.in - Indian Business of Tech, Mobile & Startups\",\"isPartOf\":{\"@id\":\"https:\/\/trak.in\/stories\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/trak.in\/stories\/wp-content\/uploads\/2024\/03\/Untitled-design-7-1-1-1-1280x720-1.jpeg\",\"datePublished\":\"2024-03-08T04:45:04+00:00\",\"dateModified\":\"2024-03-08T04:51:43+00:00\",\"author\":{\"@id\":\"https:\/\/trak.in\/stories\/#\/schema\/person\/86e2f64ead27addec3fdbe5ee1478ba6\"},\"breadcrumb\":{\"@id\":\"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/#primaryimage\",\"url\":\"https:\/\/trak.in\/stories\/wp-content\/uploads\/2024\/03\/Untitled-design-7-1-1-1-1280x720-1.jpeg\",\"contentUrl\":\"https:\/\/trak.in\/stories\/wp-content\/uploads\/2024\/03\/Untitled-design-7-1-1-1-1280x720-1.jpeg\",\"width\":1280,\"height\":720},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/trak.in\/stories\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Tata Sons’ Mega Valuation Of Rs 11 Lakh Crore Expected Before IPO: Expected Launch By 2025\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/trak.in\/stories\/#website\",\"url\":\"https:\/\/trak.in\/stories\/\",\"name\":\"Trak.in - Indian Business of Tech, Mobile & Startups\",\"description\":\"Trak.in is a popular Indian Business, Technology, Mobile & Startup blog featuring trending News, views and analytical take on Technology, Business, Finance, Telecom, Mobile, startups & Social Media Space\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/trak.in\/stories\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/trak.in\/stories\/#\/schema\/person\/86e2f64ead27addec3fdbe5ee1478ba6\",\"name\":\"Sheetal Bhalerao\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/trak.in\/stories\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/931fd08efbd72f7e9477ba740c6a56e72632cfb7ecdccb138d13ff6dca82deec?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/931fd08efbd72f7e9477ba740c6a56e72632cfb7ecdccb138d13ff6dca82deec?s=96&d=mm&r=g\",\"caption\":\"Sheetal Bhalerao\"},\"url\":\"https:\/\/trak.in\/stories\/author\/sheetal-bhalerao\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Tata Sons' Mega Valuation Of Rs 11 Lakh Crore Expected Before IPO: Expected Launch By 2025 - Trak.in - Indian Business of Tech, Mobile & Startups","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/","og_locale":"en_US","og_type":"article","og_title":"Tata Sons' Mega Valuation Of Rs 11 Lakh Crore Expected Before IPO: Expected Launch By 2025 - Trak.in - Indian Business of Tech, Mobile & Startups","og_description":"Spark Capital said that Tata Sons Ltd. could potentially be valued at as high as Rs 11 lakh crore in an initial public offering (IPO) expected to take place within a year and a half. Tata Son\u2019s May Be Valued At Rs 11 lakh Crore In IPO Here Spark Capital is a venture capital firm […]","og_url":"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/","og_site_name":"Trak.in - Indian Business of Tech, Mobile & Startups","article_published_time":"2024-03-08T04:45:04+00:00","article_modified_time":"2024-03-08T04:51:43+00:00","og_image":[{"width":1280,"height":720,"url":"https:\/\/trak.in\/stories\/wp-content\/uploads\/2024\/03\/Untitled-design-7-1-1-1-1280x720-1.jpeg","type":"image\/jpeg"}],"author":"Sheetal Bhalerao","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Sheetal Bhalerao","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/","url":"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/","name":"Tata Sons' Mega Valuation Of Rs 11 Lakh Crore Expected Before IPO: Expected Launch By 2025 - Trak.in - Indian Business of Tech, Mobile & Startups","isPartOf":{"@id":"https:\/\/trak.in\/stories\/#website"},"primaryImageOfPage":{"@id":"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/#primaryimage"},"image":{"@id":"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/#primaryimage"},"thumbnailUrl":"https:\/\/trak.in\/stories\/wp-content\/uploads\/2024\/03\/Untitled-design-7-1-1-1-1280x720-1.jpeg","datePublished":"2024-03-08T04:45:04+00:00","dateModified":"2024-03-08T04:51:43+00:00","author":{"@id":"https:\/\/trak.in\/stories\/#\/schema\/person\/86e2f64ead27addec3fdbe5ee1478ba6"},"breadcrumb":{"@id":"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/#primaryimage","url":"https:\/\/trak.in\/stories\/wp-content\/uploads\/2024\/03\/Untitled-design-7-1-1-1-1280x720-1.jpeg","contentUrl":"https:\/\/trak.in\/stories\/wp-content\/uploads\/2024\/03\/Untitled-design-7-1-1-1-1280x720-1.jpeg","width":1280,"height":720},{"@type":"BreadcrumbList","@id":"https:\/\/trak.in\/stories\/tata-sons-ipo-can-have-mega-valuation-of-rs-11-lakh-crore-ipo-expected-launch-by-2025\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/trak.in\/stories\/"},{"@type":"ListItem","position":2,"name":"Tata Sons’ Mega Valuation Of Rs 11 Lakh Crore Expected Before IPO: Expected Launch By 2025"}]},{"@type":"WebSite","@id":"https:\/\/trak.in\/stories\/#website","url":"https:\/\/trak.in\/stories\/","name":"Trak.in - Indian Business of Tech, Mobile & Startups","description":"Trak.in is a popular Indian Business, Technology, Mobile & Startup blog featuring trending News, views and analytical take on Technology, Business, Finance, Telecom, Mobile, startups & Social Media Space","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/trak.in\/stories\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/trak.in\/stories\/#\/schema\/person\/86e2f64ead27addec3fdbe5ee1478ba6","name":"Sheetal Bhalerao","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/trak.in\/stories\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/931fd08efbd72f7e9477ba740c6a56e72632cfb7ecdccb138d13ff6dca82deec?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/931fd08efbd72f7e9477ba740c6a56e72632cfb7ecdccb138d13ff6dca82deec?s=96&d=mm&r=g","caption":"Sheetal Bhalerao"},"url":"https:\/\/trak.in\/stories\/author\/sheetal-bhalerao\/"}]}},"jetpack_featured_media_url":"https:\/\/trak.in\/stories\/wp-content\/uploads\/2024\/03\/Untitled-design-7-1-1-1-1280x720-1.jpeg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/trak.in\/stories\/wp-json\/wp\/v2\/posts\/1279750","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/trak.in\/stories\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/trak.in\/stories\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/trak.in\/stories\/wp-json\/wp\/v2\/users\/27"}],"replies":[{"embeddable":true,"href":"https:\/\/trak.in\/stories\/wp-json\/wp\/v2\/comments?post=1279750"}],"version-history":[{"count":2,"href":"https:\/\/trak.in\/stories\/wp-json\/wp\/v2\/posts\/1279750\/revisions"}],"predecessor-version":[{"id":1279758,"href":"https:\/\/trak.in\/stories\/wp-json\/wp\/v2\/posts\/1279750\/revisions\/1279758"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/trak.in\/stories\/wp-json\/wp\/v2\/media\/1279756"}],"wp:attachment":[{"href":"https:\/\/trak.in\/stories\/wp-json\/wp\/v2\/media?parent=1279750"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/trak.in\/stories\/wp-json\/wp\/v2\/categories?post=1279750"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/trak.in\/stories\/wp-json\/wp\/v2\/tags?post=1279750"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}