Tata Investment Corporation is a non-banking financial company promoted by Tata Sons. The company entered the public sector in the year 1939 by enrolling itself in the Bombay Stock Exchange (BSE).
Since 1939, Tata Investment Corporation Ltd. (TICL) has been sustaining the status of being one of the first publicly-held investment companies that also got listed on the BSE. TCIL deals mainly with investment in shares, debentures, and other securities. The company's services mostly include:
- Undertaking of capital and related customer services
- Financing long-term investments in equity shares and other services in various industries.
Tata Investment Corp. basically functions as a catalyst in advancing long-term investment in India. The main office of TICL is located in Mumbai, India. The company has investments in both, registered and unregistered entities. Among unregistered entities, it has investment in preference shares of Tata Auto Components (TACO) and Tata Sons. TACO is one of the leading auto-component providers in India.
In the beginning, Tata Investment Corporation Ltd. was known as The Investment Corporation of India Ltd. till 1939. It worked partly for the publicity of new companies and projects and partly in investment. TICL transferred its business areas from promoting new companies and projects directly to an active investment company. TICL has also joined hands with Tata Sons in promoting Tata Mutual Fund. Tata Investment Corp. is also a chief stockholder in Tata Securities which distributes mutual funds and other investment related securities.
Tata Investment Corporation was rated by CRISIL in 1994 and since then, it has been continuing with it. TICL also received the highest rating of 'FAAA' which indicates maximum security in payment of interests and principal amounts. This rating needs to be affirmed every year and prove its credibility corresponding to the date. Tata Investment Corp has successfully carried out the rating ever since 1994.
Tata Investment Corporation, though known to be a non-banking financial company, holds the registration of the Reserve Bank of India under the category of 'Investment Company'. TICL's revenue comes from dividend income and profit gained by selling investments. Over the years, Tata Investment Corp. has established a portfolio for investment with a book value of more than Rs. 600 crore and a market value of above Rs. 2000 crore. On March 31, 2006 it set up around 230 companies in various industries. The paid-up capital of TICL is Rs. 34 crore with reserves of Rs. 568 crore. During the year 2001-2002, Tata Investment Corporation announced a temporary dividend at Rs. 6 per ordinary share which comes to 60% in equity.
Very recently, Tata Investment Corporation declared profits after tax of INR 1,816 million or INR 52.713 per share on a total income of INR 2,043 million as against profit after tax of INR 1,631 million or INR 47.341 per share on a total income of INR 1,704 million for the year 2006-2007. Tata Investment Corporation Ltd. has been raising the bar every year and today it is recognized to be among the best investment companies and also among the most secure ones in terms of payments.