Shares of Tata Motors closed at Rs 414.10, up Rs 0.75, or 0.18% on BSE.
Local automaker Tata Motors said on Monday its board had given approval in principle for the partial sale of the company’s investment in Tata Technologies via the initial public offering (IPO) route.
In a regulatory filing, Tata Motors said the company’s IPO committee, which met on December 12, 2022, has given its approval in principle.
The Mumbai-based company said, “We would like to inform you that the IPO Committee, at its meeting held on December 12, 2022, has granted
its approval in principle to explore the possibility of a partial divestment of the company’s investment in Tata Technologies, a subsidiary of the company, through an IPO at the appropriate time.”
The company will make further announcements of all material developments related to the IPO as and when required in accordance with SEBI regulations and other applicable laws, it said.
Tata Technologies is a global digital engineering and product development services company. It provides services to the automotive, aerospace, industrial heavy machinery and other industries.
According to information available on the company’s website, Tata Technologies had revenue of $473.5 million in FY22.
It is a strategic supplier to Airbus and recently inaugurated its innovation center in Toulouse, France, as part of its strategy to meet the industry’s product engineering and digital requirements. global aerospace and defense industry.
In June, Tata Technologies joined the MIH consortium initiated by Foxconn to promote the development of sustainable mobility solutions and encourage collaboration within the industry. The Mobility In Harmony Consortium (MIH) has more than 2,300 software, hardware and service members.