Tata Group stock rallies 5% after falling for 11 sessions: What changed and what to expect

Tata Group stock price: This comes after it was reported that the conglomerate is planning several IPOs in the next 2-3 years.

Tata Group stock price: Shares of Tata Investment Corporation jumped about 5% to the day's high at ₹5,940 on BSE after falling for 11 consecutive sessions. This comes after it was reported that the conglomerate is planning several IPOs in the next 2-3 years which will help “Tata Sons to unlock value, fuel future growth, and provide exit options for select investors”.

Tata Group stock price: Earlier, Tata Investment and Tata Chemicals shares were in focus as Tata Sons was expected to get listed. (Reuters)

Tata Capital, Tata Autocomp Systems, Tata Passenger Electric Mobility, BigBasket, Tata Digital, Tata Electronics, Tata Housing, and Tata Batteries could come out with IPOs in the next 2-3 years, Economic Times reported.

As per the report, a person in the know said, “The decision to approach the capital markets is always strategic, and not really a plan to rush into an IPO for the sake of it.”

An executive told the Economic Times, “Many of the businesses seeded over 20 or 25 years ago are now in a growth phase and in shape to be monetised. Also, calculated decisions are being taken by specific companies in discussions with Tata Sons."

Earlier, Tata Investment and Tata Chemicals shares were in focus as Tata Sons was expected to get listed but later it was reported that the company was exploring means to avoid getting listed on stock exchanges under RBI rules.

This month, Tata Sons sold 2.43 crore shares or 0.64% equity in subsidiary Tata Consultancy Services (TCS) in a ₹9,000 crore block deal and Tata Sons' subsidiary Tata Electronics committed to invest ₹91,000 crore to build a semiconductor fabrication plant in Gujarat's Dholera.