MUMBAI: Tata Capital Ltd has received the approval of India’s markets regulator to proceed with its plans for an initial public offering or IPO that may fetch about US$2bil, according to sources, in what is expected to be the country’s biggest listing this year.
The Securities and Exchange Board of India (Sebi) notified the company and its bankers, according to the source.
The non-banking finance arm of Tata Group aims to launch the share sale as early as August, the people said.
Representatives at Tata Capital and Sebi didn’t immediately reply to requests for comment.
The approval clears the way for the company to incorporate feedback from the regulator into its prospectus before it starts marketing the deal.
The development comes as India’s market for new listings sees signs of picking up, with HDB Financial Services Ltd scheduling to launch a billion-dollar-plus stock offering today.
The parent Tata Group is seeking a valuation of up to US$11bil for the unit, sources have said. — Bloomberg
