Tata group shares price movement Tata group shares hogged the limelight in Tuesday's trade and rallied up to 20 per cent in intra-day deals on the BSE amid expectations of Tata Sons' listing. Among individual Tata Group stocks, Tata Chemicals zoomed 20 per cent to ₹734.50, while, Tata Investment Corporation soared 15 per cent to ₹750.30 on the BSE.
Tata Consultancy Services (TCS), Tata Motors Passenger Vehicles, Tata Technologies and Tata Elxsi were up in the range of 3 per cent to 5 per cent. In comparison, the BSE Sensex was up 0.43 per cent at 75,104 at 09:24 AM. Why are Tata group stocks in focus?

As per media sources, the Reserve Bank of India (RBI) has rejected Tata Sons’ application to surrender its registration as a core investment company (CIC), which could pave way for possible listing of entity and thereby unlock value. Tata Chemicals’ holding in Tata Sons is 2.5 per cent.
Going by the rough-cut valuation, hypothetically the investment value could be ₹10,000-15,000 crore, as per various analysis available in the media, ICICI Securities said in a note. Note that Tata Chemicals' current market cap is ₹15,000 crore, thus offers significant value unlocking.

However, the brokerage firm expects a prolonged legal battle. That said, the stock may remain in positive territory in the short term, it added. With the RBI’s rejection of Tata Sons' bid to shed its CIC status making a stock market listing increasingly difficult to avoid, attention is now turning to the legal and structural groundwork the salt-to-software conglomerate will need to complete before it can file for an initial public offering (IPO), the Business Standard reported.
On meeting the minimum public shareholding (MPS) threshold, experts believe an offer for sale (OFS) route involving existing shareholders — rather than a fresh dilution — is the likely path. The Shapoorji Pallonji (SP) group, which holds roughly 18.4 per cent stake, and has long pushed for a listing to ease its own debt load, is seen as a natural candidate for such an OFS, allowing Tata Sons to meet compliance requirements without loosening the Trusts' grip on control, Business Standard reported quoting experts.

Against this backdrop, SP group companies Afcon Infrastructure and Forbes & Company zoomed 20 per cent each on the BSE in intra-day trade. Disclaimer: Views and outlook shared on the stock belong to the respective brokerages and are not endorsed by Business Standard.
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