Tata Play becomes first firm to file confidential DRHP with SEBI

2 Dec 2022 , 10:00 AM

Tata Play, formerly also known as Tata Sky, has become the first company to file a confidential DRHP with SEBI for its initial public offering (IPO). Tata group filed Draft Red Herring Prospectus (DRHP) with SEBI, BSE and NSE on November 29. The company advertised the same in a leading daily.

Capital markets regulator SEBI introduced domestically the concept of confidential filings, which is very popular in the US markets, last month. Accordingly, an unlisted company can offer its documents as private until it approves its IPO plan.

Tata Play's offer will be open for review by SEBI but will not be open to the public. Once the market regulator issues its comments and the company decides to launch an IPO, the company must file an updated DRHP, a public document.

It will be the Tata group's first IPO in two decades. The last time the group hit the primary market was through TCS in 2004.

Tata Play IPO will be a mix of fresh issue and offer for sale. Existing investors - Singapore's Temasek Holdings, Tata Opportunities Fund and Walt Disney, which hold around 37.8% in the company, are expected to sell their stakes through the OFS.

Tata play is a joint venture between the Tata group and Walt Disney. Tata currently owns about 20% in Tata Play, which reported a profit of Rs 69 crore on revenue of Rs 4,741 crore in FY22.