Upstox, an investment platform, has generated a 10-fold return to Tata group’s former chairman Ratan Tata on a buyback of 5 per cent of his stake in the company, according to a company press release.
The returns were on the partial sale of Tata’s 1.3 per cent stake in the company.
The total value of his overall investment has grown 230 times since he first invested in the digital trading platform in 2016, acquiring a 1.33 per cent stake.
The exact financial details of the transaction were not disclosed by the company.
“We are particularly honoured that Tata has been such a key part of our journey. His early belief in our vision was a huge vote of confidence,” said Kavitha Subramanian, co-founder of Upstox.
“His challenge to us was both simple and profound: ‘How can we offer the same top-quality wealth advice to the everyday Indian that wealthy individuals receive?’
"This question has been at the heart of everything we do at Upstox,” Subramanian said.
Earlier this year, Upstox’s chief executive officer Ravi Kumar, indicated that the company is aiming for a public listing within the next 2-3 years.
The platform is valued at $3.5 billion and currently has a user base of about 1.3 crore, according to the statement.
“We believe that everyone deserves the opportunity to grow their wealth, not just the privileged few.
"Our mission is to deliver strong returns for all our investors, and we are proud to say that today we’re able to return part of Tata’s investment,” added Subramanian.
