By Priya Raghuvanshi

Copyright timesnownews

Tata Motors Ltd., a leading manufacturer of passenger and commercial vehicles, has announced key updates regarding the demerger of its Commercial Vehicles (CV) division during its recent analyst meet. The company confirmed that the record date for the demerger is expected to be finalised by mid-October, with the newly separated business slated to list on stock exchanges in November. The decision to split the Commercial Vehicles business into an independent, publicly traded company was approved by Tata Motors back in August last year. Post-demerger, shareholders will receive one share of the new CV entity for every share they hold in Tata Motors. The demerger will officially come into effect starting October 1, pending regulatory clearance from the Registrar of Companies (RoC). Following the record date, the existing Tata Motors shares will begin trading, excluding the Commercial Vehicles business and will be renamed Tata Motors Passenger Vehicles Ltd. (TMPVL). Meanwhile, the demerged Commercial Vehicles segment is expected to make its market debut as Tata Motors Ltd. (TML) in November. Analyst Views And Industry Outlook Brokerage firm Jefferies shared its perspective on the split, expressing optimism about India’s Passenger Vehicle demand but raising concerns regarding Jaguar Land Rover’s (JLR) challenges. Jefferies also voiced scepticism about margin improvements in the Passenger Vehicles division and the strategic benefits of the Iveco acquisition. The firm reiterated an Underperform rating on Tata Motors shares with a price target of Rs 575. Update on Jaguar Land Rover Production During the meeting, Tata Motors also addressed the status of Jaguar Land Rover, which is currently on a production pause until October 1. The company indicated that JLR will resume manufacturing gradually but did not specify an exact timeline. Moreover, it noted that short-term demand prospects for JLR remain difficult across major markets, including Europe, China, and the United States. Shares of Tata Motors closed almost flat on Monday at Rs 674, reflecting cautious market sentiment amid these developments.