Tata Motors commences trade after demerger

The company will be named Tata Motors Passenger Vehicles Ltd which will include passenger vehicles, electric vehicles and Jaguar Land Rover (JLR). The existing Tata Motors shareholders will receive equal shares in both the new entities (record date: October 14). 

The Tata Motors Commercial Vehicle (TMLCV), the demerged business, is expected to be listed in November. 

Revenue declines

“TMLCV will enter the market as India’s largest commercial vehicle (CV) manufacturer with a 37.1 per cent market share. In Q1FY26, the CV segment sustained a healthy double-digit EBITDA margin of 12.2 per cent, even as revenue declined, supported by continued operational efficiencies. It will also benefit from the €3.8 billion Iveco acquisition, making it the world’s fourth largest truck manufacturer (above 6 tonnes). The domestic CV industry is expected to grow 3-5 per cent in FY26, supported by infrastructure and e-commerce demand. The TMPV segment will incorporate passenger vehicle (PV) business, electric vehicles (EV), and Jaguar Land Rover operations. The domestic PV segment is expected to grow 8-10 per cent in H2FY26, aided by new launches, strong SUV positioning, and rising EV and CNG demand, which form 45 per cent of its PV segment revenue,” said Khushi Mistry, Research Analyst at Bonanza.