By Priya Raghuvanshi
Copyright timesnownews
Tata Motors has officially completed the demerger of its commercial vehicles business, with the scheme coming into effect from October 1, 2025, following approval from the National Company Law Tribunal (NCLT), Mumbai Bench. The move marks a major restructuring aimed at unlocking value and sharpening business focus across its passenger and commercial vehicle segments. Tata Motors has announced October 14, 2025, as the record date for shareholders to receive shares in the newly formed TML Commercial Vehicles Ltd (TMLCV). Investors holding Tata Motors shares on this date will be entitled to one equity share of TMLCV for every share they own, maintaining their proportional ownership in the new entity. This stock will carry a face value of Rs 2 and is expected to be listed on both the BSE and NSE soon after. Debenture Holders And Amalgamation Details In addition to the equity share record date, Tata Motors has set October 10, 2025, as the record date to identify holders of specific non-convertible debentures (NCDs) that will be transferred to TMLCV. With the amalgamation of Tata Motors Passenger Vehicles Ltd (TMPV) into Tata Motors effective from October 1, TMPV has ceased to exist, paving the way for a streamlined structure focused on distinct business verticals. Market Reaction And Outlook Domestic brokerage JM Financial highlighted that the demerger is a pivotal milestone for Tata Motors, according to The Economic Times report. They noted that the carve-out of the commercial vehicle segment may trigger stock price volatility as the market recalibrates valuations focused solely on passenger vehicles. The new commercial vehicle entity is anticipated to debut on stock exchanges by early November, pending completion of all regulatory formalities. Following the announcement, Tata Motors shares rose by 4 per cent, trading at Rs 707.70 on the BSE. Get Latest News live on Times Now along with Breaking News and Top Headlines from Business, Companies and around the world.
