Ratan Tata to See 448.9% Return from FirstCry IPO; Sachin Tendulkar Faces Losses
Tata's decision to sell 77,900 shares highlights a substantial gain, given the average acquisition cost of Rs 84.72 per share.
Ratan Tata is likely to make a profit of Rs 2.96 crore from the FirstCry IPO.
Billionaire Ratan Tata is poised to make a remarkable profit of Rs 2.96 crore from the FirstCry IPO, thanks to a 448.9% return on his 2016 investment.
Tata’s Rs 66 lakh stake in the kidswear startup is set to increase significantly, with the IPO priced at Rs 465 per share.
As Tata prepares to sell all 77,900 shares, the average acquisition cost of Rs 84.72 per share underscores the significant gains from this investment.
Tata, known for his role as former chairman of Tata Group and angel investor in startups like Lenskart and Paytm, contrasts with Sachin Tendulkar and other investors facing declines in the value of their holdings.
Tendulkar’s Rs 10 crore investment at Rs 487.44 per share is now estimated to be worth around Rs 9.5 crore, reflecting a 5% loss.
The FirstCry IPO, featuring a Rs 1,666 crore fresh issue and an offer for sale of up to 5.4 crore shares, opens from August 6 to August 8, with listing expected on August 13.
For the fiscal year 2024, FirstCry announced a 15% rise in revenue, reaching Rs 6,481 crore while also reducing losses by 34% to Rs 321 crore.
Major shareholders, including Mahindra & Mahindra and SoftBank, along with FirstCry Co-Founder Supam Maheshwari, will sell shares in the IPO.
