A Tata Group stock has come into the spotlight after a significant block deal involving 2.1 percent of the company’s equity took place. While the buyers remain unidentified, US-based private equity firm TPG is the likely seller, offering the stake at a discounted price. This partial exit has attracted investor attention and impacted market activity.

During Wednesday’s trading session, the shares of Tata Technologies Ltd reached an intraday high of Rs.769.00 per share, rising slightly from the previous close of Rs.767.50 per share. The shares have retreated from the peak and are trading at Rs.759.00 apiece. 

What Happened

Shares of Tata Technologies Ltd. opened lower on Wednesday, June 4, following a significant block trade involving the Tata Group company. Exchange data indicated that nearly 86 lakh shares, representing 2.10 percent of the total equity, changed hands in the transaction.

This development comes after CNBC-TV18 reported on Tuesday that US-based private equity firm TPG Rise Climate Sf Pte. Ltd planned to sell up to 2.1 percent stake in Tata Technologies through block deals. The offer price was reportedly set at Rs.744.5 per share, marking a discount of up to 3 percent from the previous day’s closing price. The buyers and sellers in the transaction are not known officially.

As per the March-end quarter shareholding data, TPG Rise Climate held a 6.01 percent stake in Tata Technologies. The partial stake sale has triggered market reactions, with investors closely tracking the stock’s movement.

Business Highlights 

Tata Technologies has secured a key engagement with a prominent North American electric vehicle manufacturer to optimize ERP systems, drive digital transformation, and improve supply chain transparency.

The company has also been entrusted with setting up an offshore development centre for a leading global OEM, aimed at delivering end-to-end support in product engineering, embedded software, and digital enterprise services.

In Asia, Tata Technologies has been tasked by a major automotive OEM to lead the design and development of both interior and exterior trims, as well as manage a simultaneous engineering project for a facelift vehicle program.

In the education sector, Tata Technologies has partnered with the Government of Uttar Pradesh to upgrade 62 Industrial Training Institutes (ITIs) across the state, boosting vocational education infrastructure.

Additionally, the company is collaborating with a global automotive Tier 1 supplier to develop advanced application software that enhances energy distribution across multiple battery packs in commercial vehicles.

Financial Performance

According to its latest financial results, Tata Technologies Ltd reported a consolidated revenue of Rs.1,286 crores in Q4 FY25, reflecting a decline of 1.15 percent from Rs.1,301 crores in Q4 FY24 and a 2.36 percent drop from Rs.1,317 crores in Q3 FY25.

Despite the revenue dip, the company’s net profit rose to Rs.189 crores in Q4 FY25, up 20.38 percent from Rs.157 crores in the previous quarter and 11.83 percent higher than Rs.169 crores reported in Q4 FY24.

The company has a Return on Capital Employed (ROCE) of 23.53 percent and a Return on Equity (ROE) of 18.91 percent. Its Price-to-Earnings (P/E) ratio stands at 45.98, lower than the industry average of 50.72. Furthermore, the company maintains a current ratio of 1.78, a debt-to-equity ratio of 0.07, and an Earnings Per Share (EPS) of Rs.16.69.

Written by – Siddesh S Raskar

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