TCS planning Rs 35-40 billion IPO by mid-May

Software giant Tata Consultancy Services (TCS) will file for what could be the nation’s largest IPO next month, banking sources said on Tuesday. TCS has not yet decided on the issue size, but it is expected to raise between Rs 35-40 billion ($800-$913 million) through an IPO of about 10 percent of its equity.

The much-awaited flotation would value TCS at as much as $9.1 billion, making it India’s fourth-most-valuable company by market capitalisation. The papers are likely to be filed by early-to-mid May, banking sources confirmed.

The TCS IPO looks set to surpass the $690 million raised in 1993 by Reliance Industries Ltd. Several companies are planning IPOs this year to tap into the fervent interest among foreign investors in the country. —9Agencies)