Tata Capital Targets ₹17,000 Cr, OYO Plans $7-8 Bn Listing Tata Capital is aiming to raise INR 17,000 crore through its upcoming public issue, as per its updated draft red herring prospectus (UDRHP), while hospitality major OYO is expected to file its Draft Red Herring Prospectus (DRHP) in November, with a target valuation of USD 7-8 billion, according to sources cited by PTI.
You're reading Entrepreneur India, an international franchise of Entrepreneur Media.
Tata Capital is aiming to raise INR 17,000 crore through its upcoming public issue, as per its updated draft red herring prospectus (UDRHP).
Market chatter suggests that the IPO price band may be fixed at a noticeable discount compared to the company's current unlisted valuation. Currently, Tata Capital's unlisted shares are being quoted at around INR 775, but the eventual IPO pricing is expected to be lower, following the pattern seen in other marquee listings.
Adding to the anticipation of a conservative price band, Tata Capital's most recent rights issue, completed on July 18, 2025, was priced at just INR 343 per share, less than half the current grey market quote. This indicates that the INR 775 valuation may not be reflective of institutional appetite.
The Tata group NBFC filed its DRHP with SEBI on August 4. The IPO comprises a fresh issue of 21 crore equity shares alongside an Offer for Sale (OFS) of 26.58 crore shares, totaling 47.58 crore shares.
Tata Capital, the third-largest diversified NBFC in India with assets under management (AUM) of INR 2.3 lakh crore, plans to list to strengthen its Tier-I capital base and adhere to the RBI's NBFC upper-layer regulations.
OYO IPO
Hospitality major OYO is expected to file its Draft Red Herring Prospectus (DRHP) in November, with a target valuation of USD 7-8 billion, according to sources cited by PTI.
The proposal for the IPO is slated to be presented to its board next week. In an official statement, OYO said: "While we cannot comment on timelines for the DRHP or IPO, the decision will ultimately rest with OYO's Board of Directors. Currently, the company continues to evaluate multiple strategic avenues to create value for stakeholders."
Over the past few weeks, OYO has intensified its engagement with banking partners, while keeping its valuation guidance steady at USD 7-8 billion (shares at INR 70 each), equating to roughly 25–30x EBITDA, PTI reported.
"The filing with regulators is being targeted for November. After months of discussions with banks such as Axis, Citi, Goldman Sachs, ICICI, JM Financial, and Jefferies in London, SoftBank and OYO are confident of moving forward. The board will review and finalise the proposal next week," said a source familiar with the matter.
Parallelly, OYO is also preparing to launch a refreshed parent brand identity to unify its growing portfolio. Earlier this year, founder and CEO Ritesh Agarwal crowdsourced name suggestions for parent entity Oravel Stays Limited, with the winning choice expected to be adopted as the group's new name.
The company is also considering the rollout of a dedicated app for premium and mid-to-premium hotels, a segment witnessing rapid expansion both in India and across international markets.
Market Outlook
Indian equity benchmarks continued its losing streak on August 28, with Nifty settling near the 24,500 marks, reflecting continuation of the selling pressure, said Bajaj Broking.
"Last two sessions' sharp decline can be attributed to the implementation of the 50per cent US tariff on Indian goods, which has heightened worries about India's export competitiveness and trade relations. While domestic institutional investors (DIIs) provided some support by stepping in as net buyers, the persistent FII outflows amplified the impact of the US tariffs, leading to a broad-based selloff," said Bajaj Broking.
