Tata Capital successfully raises INR 2,950 crores through the issuance of secured Non-Convertible Debentures (NCDs) in a private placement. The interest rate for these NCDs is a floating one, tied to three-month Treasury bills plus 2.1%. They will mature on February 21, 2029.
Tata Capital Limited
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Despite reporting positive financial indicators, Tata Capital shares experienced a fourth consecutive dip, reaching an all-time low at ₹298.4. This unexpected decline may suggest market sentiment unfavorable towards the company's current performance.
The successful IPO of Tata Capital offers a positive boost to Tata Sons, providing some relief during a period where dividends are on the decrease.
Tata Capital has launched a new issue of 50,500 NCDs (Non-Convertible Debentures) worth INR 505 crores, carrying an annual interest rate of 7.97%. These securities are rated AAA by both CRISIL and ICRA, indicating high creditworthiness, and are backed by movable assets. The maturity period for these NCDs is set at five years.
Non-banking finance companies (NBFCs) like Tata Capital and Bajaj Finance aim to collectively raise ₹15,000 crore by issuing bonds. This move is likely due to a surge in demand for short-term funds as corporate debt yields decrease.
Tata Capital's rating in the NBFC sector has been lowered from 'good' to 'average', based on an evaluation of key factors such as return on equity (ROE), return on capital employed (ROCE), debt levels, and growth predictability. This change indicates a potential shift in investor perception regarding the company's performance.
Tata Capital has reported a substantial 46.7% increase in Q4 profits for FY26, causing a 1.7% uptick in share prices. HDFC Securities sets an optimistic target of Rs. 335 based on promising fundamentals and strong growth in Assets Under Management (AUM).
Tata Capital anticipates increased profitability in the financial year 2027-2028, thanks to reduced borrowing costs and enhanced net interest margins. The company is optimistic about its growth and improved profitability outlook for the upcoming fiscal year.
Tata Capital's assets under management (AUM) have grown by 20% year-over-year to reach ₹2.77 lakh crore. Profit after tax (PAT) also increased by 43% YoY to ₹1,502 crore. When excluding motor finance, the growth in AUM and PAT is even more significant at 28% and 51% respectively. This strong performance indicates an improved credit quality.
Tata Capital intends to bolster its Assets Under Management (AUM) by 23-25% by Financial Year 2026-27, primarily through enhanced digital strategies. Optimizing portfolios is a significant component of their growth blueprint.
Tata Capital achieves a significant milestone in March, disbursing over Rs. 50,000 crore for the first time. The company projects a robust growth of more than 80% in lending by FY27, demonstrating a strong credit trajectory ahead.
Tata Capital's Q4 earnings reveal a substantial 34% increase in net profit, reaching ₹526 crores, alongside a 24% growth in Net Interest Income (NII) to ₹818 crores. The company reported low non-performing asset ratios, with gross NPA at 0.73% and net NPA at 0.33%.
Tata Capital has updated its compliance with the Securities and Exchange Board of India (SEBI) for the financial year 2025-26. Additionally, details on the issued and outstanding Non-Convertible Debentures (NCDs) as of March 31, 2026 have been disclosed on the Bombay Stock Exchange (BSE).
Starting April 15, shares worth Rs 5 crore will become accessible for key companies like Tata Capital, Meesho, LG India, and Pine Labs as IPO lock-in periods end. According to Nuvama's report, by July 2026, approximately 81 firms are anticipated to release shares, with significant shifts in share eligibility for major market players.