Tata Technologies' shares are under scrutiny as TPG, a US-based private equity firm, is reportedly planning to offload a 2.1% stake in the company through a block deal today, June 4, 2025. The offer price for this transaction is set between ₹744.50 and ₹767.50 per share.

TPG, through its affiliate TPG Rise Climate SF Pte. Ltd., held a 6.01% stake in Tata Technologies, equivalent to 24,380,305 equity shares, at the end of the March quarter. The current block deal involves the sale of 8,516,499 shares. The deal is estimated to be worth ₹634.10 crore (approximately $74 million, with an exchange rate of 85.59 per dollar). This price range represents a discount of up to 3% compared to Tata Technologies' closing stock price of ₹768 on Tuesday.

BofA Securities is managing this "clean-up trade," which signifies TPG's complete exit from Tata Technologies after a profitable investment period. The move is seen as a strategic portfolio adjustment by TPG.

Tata Technologies' stock performance has been mixed. While the shares have risen 18.64% over the past month, they are still down 25% over the past year. In comparison, the BSE IT index has increased by 3.49% in the last month and 9.39% in the last year.

The block deal occurs amidst a flurry of such transactions in the Indian equity market. Several institutional investors are leveraging the recent market rebound to sell stakes in companies like Indegene Ltd, Alkem Laboratories Ltd, and Aditya Birla Fashions Ltd, alongside Tata Technologies.

In the January-March quarter, Tata Technologies reported a 12% sequential increase in net profit, reaching ₹188.9 crore. However, consolidated revenue saw a 2.4% quarter-on-quarter decline, amounting to ₹1,285.7 crore. The company has recommended a dividend of ₹11.7 per share.