Tata Motors stated on Monday that its board has given in-principle approval for disinvestment of partial stake in its subsidiary, Tata Technologies, via an Initial Public Offering (IPO). This is going to be the first IPO from the conglomerate since the Tata Consultancy Services public issue in 2004 and also the first under the tenure of Tata Group Chairman N Chandrasekaran. The automaker stated that it is going to make further announcements of all material developments regarding the IPO, as and when needed. Tata Motors founded Tata Technologies as a unit in 1989. A total of 74.43 percent stake is held by the automaker in Tata technologies as of 31 March 2022. In 2018, Tata Motors called off a deal for selling about 43 percent stake in Tata Technologies to private equity firm Warburg Pincus for $360 million. It pointed out that delays in securing regulatory approvals and the performance not meeting thresholds were the cause of calling off the deal.Tata Technologies is an international product engineering and digital services firm. According to Business Today, the 2022 fiscal annual report showed that rising sales at Tata Technologies caused a 46 percent growth in the revenue of Tata Motors from other operations. The Tata conglomerate had 29 publicly listed businesses with a $314 billion worth of combined market capitalisation as of end 2021.Led by CEO Warren Harris, Tata Technologies saw a growth of 47 percent in revenue to Rs 3,530 crore for 2021-22 (April to March), and a jump of 74 percent in profit post tax to Rs 437 crore.The company focuses on four main verticals, namely automotive, aerospace, industrials, and industrial machinery through these offerings:Digital Enterprise Solutions (DES), including offerings in Connected Enterprise IT (CEIT) and Product Lifecycle Management (PLM) servicesEngineering, Research, and Development (ER&D) servicesTata Technologies has 9,000 employees globally. The company serves clients through facilities in Europe, North America, and the Asia-Pacific region. As per the firm, manufacturing companies rely on it for conceptualising, developing, and realising better products that are cleaner, safer, and improve the quality of life for all stakeholders.Read all the Latest News, Trending News, Cricket News, Bollywood News, India News and Entertainment News here. Follow us on Facebook, Twitter and Instagram.
Creator :FP Trending
Published on : 2022-12-13 06:00:51
Source :firstpost
Article from : See Article