The first issue from the Tata group in 19 years, following the 2004 IPO of Tata Consultancy Services Ltd (TCS), was Tata Technologies Ltd, which began its IPO in November 2023.
The engineering, procurement, and construction (EPC) division of the group, Tata Projects, has stated that it may be prepared for listing in 12 to 18 months, so the wait for another Tata IPO might not be that long.
‘A listing in 12-18 months, by when it hopes to consistently generate cash,’ Vinayak Pai, managing director and chief executive officer (MD & CEO) of Tata Projects, told the Economic Times.
According to the report, Pai stated, ‘The goal is to become ‘fit’ during this time (12–18 months)…it is about money, and if we are able to generate 4-5 per cent cash on our revenue, that’s actually the highest metric of fitness.’
He did clarify, though, that the company was more concerned with ‘getting fit’ financially and that this was not a ‘hard target.’
As of March 31, 2024, Tata Sons owned 57.31 per cent of Tata Projects, making it the company’s largest shareholder. Tata Power (30.81 per cent), Tata Chemicals (6.16 per cent), Voltas (4.3 per cent), and Tata Industries (1.42 per cent) are among the other shareholders in the business.
Tata Projects order pipeline
Pai stated earlier this month that Tata Projects anticipates doubling its order intake to more than Rs 20,000 crore in the current fiscal year 2024–2025. He had stated that it anticipates net profit to increase in the high double-digits and revenue to grow in the low-to-mid double-digit range. It currently has over Rs 40,000 crore in outstanding orders.
Company Financials
After reporting losses for two years in a row, the company reported a net profit of Rs 82 crore and consolidated gross income of Rs 17,761 crore for the fiscal year that ended in March 2024. Next year, the Noida International Airport in Jewar, Uttar Pradesh, one of the company’s major ongoing projects, will be finished.
