Tata Sons, the holding company of the Tata group, is
considering a $1 billion-plus (over Rs4,300 crore) overseas
equity sale in Tata Consultancy Services (TCS) this
year to fund acquisitions of other entities.
group is examining the merits of listing on the London,
Luxembourg and New York stock exchanges.
listing on the New York Stock Exchange, where Infosys,
Wipro and Satyam are also listed, gets immediate attention
from global brokerages but is a cumbersome process as
companies have to adhere to the time-consuming compliance
norms under the Sarbanes-Oxley regulations.
listing on the London Stock Exchange is easier, but
no major Indian software firm is listed on it yet. The
possibility of TCS listing in Luxembourg appears to
be the least likely option.
said raising funds through an equity sale in TCS makes
sense as Tata Sons holds a 78.35-per cent stake in the
country''s largest software company. As a policy, Tata
Sons chips in with funds whenever any group entity makes
a major acquisition.