Tata Technologies IPO: Shares of Tata Motors soared on Friday despite Tata Technologies filing papers with markets regulator Sebi, despite a weak sentiment on Dalal Street. Under this public issue, Tata Motors intends to sell 8,11,33,706 Tata Technologies shares that the auto major had acquired 7.40 each. Therefore, Tata Motors is expected to make huge profit from Tata Technologies IPO and hence Tata Motors shares have gained a lot in the market.
Tata Technologies IPO: Shares of Tata Motors soared on Friday despite Tata Technologies filing papers with markets regulator Sebi, despite a weak sentiment on Dalal Street. Under this public issue, Tata Motors intends to sell 8,11,33,706 Tata Technologies shares that the auto major had acquired 7.40 each. Therefore, Tata Motors is expected to make huge profit from Tata Technologies IPO and hence Tata Motors shares have gained a lot in the market.
Tata Technologies IPO Details
Speaking on the impact of Tata Technologies IPO on Tata Motors shares, Avinash Gorakhkar, Head of Research, Profitmart Securities said, “Tata Technologies is an IT company and Tata Motors has stake in this IT company which has applied for its IPO with SEBI The IPO is a public issue which is expected to garner good response from investors as Tata’s big name is attached. For Tata Motors, Tata Technologies IPO is going to be a cash flow bringer as they acquired shares of Tata Technologies 7.40 per share (as spelled out in the Draft Red Herring Paper or DRHP).
Tata Technologies IPO Details
Speaking on the impact of Tata Technologies IPO on Tata Motors shares, Avinash Gorakhkar, Head of Research, Profitmart Securities said, “Tata Technologies is an IT company and Tata Motors has stake in this IT company which has applied for its IPO with SEBI The IPO is a public issue which is expected to garner good response from investors as Tata’s big name is attached. For Tata Motors, Tata Technologies IPO is going to be a cash flow bringer as they acquired shares of Tata Technologies 7.40 per share (as spelled out in the Draft Red Herring Paper or DRHP).
Gorakhskar said that Tata Technologies is yet to price the IPO, but it is sure that Tata Technologies IPO will be priced at least 4-5 times the rate at which Tata Motors acquired stake in Tata Technologies . Hence, Tata Motors is expected to make huge gains from the Tata Technologies IPO, said Avinash Gorakhskar.
Gorakhskar said that Tata Technologies is yet to price the IPO, but it is sure that Tata Technologies IPO will be priced at least 4-5 times the rate at which Tata Motors acquired stake in Tata Technologies . Hence, Tata Motors is expected to make huge gains from the Tata Technologies IPO, said Avinash Gorakhskar.
On how Tata Technologies IPO will benefit Tata Motors share price in the near term, Anuj Gupta, Vice President – Research, IIFL Securities said, “With Tata Technologies IPO, Tata Motors is going to book profit and hence in Tata Motors Cash flow will increase. After Tata Technologies share listing. In Q3FY23 results, Tata Motors beat market estimates by a wide margin, which has put Tata Motors shares in an uptrend. This uptrend is expected to re-open in China. The latter is expected to head north as it has major exposure to JLR sales. In the Chinese market. Hence, Tata Motors is expected to improve its balance sheet in the upcoming quarter due to strong business outlook and Tata Technologies IPO in the near term. Is going to work as icing on the cake.
On how Tata Technologies IPO will benefit Tata Motors share price in the near term, Anuj Gupta, Vice President – Research, IIFL Securities said, “With Tata Technologies IPO, Tata Motors is going to book profit and hence in Tata Motors Cash flow will increase. After Tata Technologies share listing. In Q3FY23 results, Tata Motors beat market estimates by a wide margin, which has put Tata Motors shares in an uptrend. This uptrend is expected to re-open in China. The latter is expected to head north as it has major exposure to JLR sales. In the Chinese market. Hence, Tata Motors is expected to improve its balance sheet in the upcoming quarter due to strong business outlook and Tata Technologies IPO in the near term. Is going to work as icing on the cake.
tata technologies ipo price
On the expected Tata Technologies IPO price, Gaurav Dua, head of capital markets strategy at Sharekhan by BNP Paribas, said, “The listing of Tata Technologies, a subsidiary of Tata Motors, could unlock value for shareholders. Though pricing is still unclear , but the market expects the company to list at an m-cap of around Rs 18,000 crore. As a result, it could add roughly since 35 40 per share in the SoTP valuation of Tata Motors.
tata technologies ipo price
On the expected Tata Technologies IPO price, Gaurav Dua, head of capital markets strategy at Sharekhan by BNP Paribas, said, “The listing of Tata Technologies, a subsidiary of Tata Motors, could unlock value for shareholders. Though pricing is still unclear , but the market expects the company to list at an m-cap of around Rs 18,000 crore. As a result, it could add roughly since 35 40 per share in the SoTP valuation of Tata Motors.
tata motors share price outlook
Expecting a strong rally in Tata Motors shares, Anuj Gupta of IIFL Securities said, “There is strong support in Tata Motors share price. 420 each level and those who have this stock in their portfolio can hold the stock with stop loss below 420 per share level. Those who wish to buy Tata Motors shares can buy this auto stock for short to medium term targets at current levels since 490 500 per share while maintaining a strict stop loss below 420 level.”
tata motors share price outlook
Expecting a strong rally in Tata Motors shares, Anuj Gupta of IIFL Securities said, “There is strong support in Tata Motors share price. 420 each level and those who have this stock in their portfolio can hold the stock with stop loss below 420 per share level. Those who wish to buy Tata Motors shares can buy this auto stock for short to medium term targets at current levels since 490 500 per share while maintaining a strict stop loss below 420 level.”
Disclaimer: The views and recommendations given above are of individual analysts or broking companies and not of Mint. We advise investors to check with certified experts before taking any Investment Decision.
Disclaimer: The views and recommendations given above are of individual analysts or broking companies and not of Mint. We advise investors to check with certified experts before taking any Investment Decision.