Such a problem got stuck between the country's banking regulator Reserve Bank of India and Tata Sons. After which the question is being raised whether Tata Sons will be able to launch its IPO before the deadline. This question has also become important because Tata Sons is such a big company that it may take a lot of time to draft its IPO. On the other hand, Tata Sons is exploring different ways to avoid the SBR framework of RBI. For this the company has also paid its loan in full.
If the company is successful in its plan, then it will be a big setback for RBI because Tata Sons case will become an example for those future companies, then they can come in the upper layer under scale based regulation. In such a situation, the matter of this IPO has become completely complicated for RBI and Tata Sons. Let us also tell you what kind of things and speculations are coming out.
The Reserve Bank of India had brought a new rule under the SBR framework about two years ago, i.e. in 2022. Actually, this rule was for non-banking finance companies, the objective of which was to bring better governance and transparency for the big NBFCs of the country. Under this rule, Tata Sons was categorized in the upper layer. Also, the company was given 3 years time for listing. The tenure of Tata Sons is going to end in September 2025. According to experts, it may take at least 7 months to process Tata Sons' IPO. According to the current deadline, there is very little time for Tata Sons to conduct IPO.
On the other hand, many such tricks are being used by Tata Sons so that it does not have to go for listing. For this the company has canceled its entire debt. This could also be a part of planning to leave RBI registration. If this happens, Tata Sons will be out of the scope of RBI's SBR framework and after that there will be no need for listing. After which there will be no need to follow the necessary transparency norms for public surveillance and listed companies.
On the other hand, another aspect is also visible in this whole controversy. Tata Trust Vice President Venu Srinivasan is also being seen quite suspicious. Which is currently included in the Central Board of Directors of RBI. He is also considered to have a deep involvement in Tata Trust. In such a situation, the dual role of Venu Srinivasan is also being seen as a conflict of interest. If anything goes in favor of Tata Sons, it will be understood that it is because of the influence of Venu Srinivasan.
On the other hand, some experts say that some groups have also come forward in support of Tata Sons' IPO, which have a significant stake in Tata Sons. Shahpur Pallonji Group, which holds 18.37 percent stake in Tata Sons' last AGM, has supported this IPO. Experts estimate that if Tata Sons sells even 5 percent of its stake, it can generate more than Rs 55 thousand crore from the market. Now understand what kind of stir will be created in the stock market if Tata Sons does dilution of the entire 25 percent of the stock market.
