Mumbai, October 1 (Market News) – Tata Motors has announced October 14, 2025, as the record date to determine shareholder eligibility for receiving shares in its demerged commercial vehicle arm, TML Commercial Vehicles Ltd (TMLCV).
Details of Share Allotment
In its regulatory filing, the automaker confirmed that shareholders will receive one share of TMLCV (face value ₹2 fully paid-up) for every one share of Tata Motors held as of the record date.
These new shares are proposed to be listed on both the BSE and NSE, bringing greater visibility to the standalone commercial vehicle business.
Background on Demerger
The move follows Tata Motors’ decision last year to split its commercial and passenger vehicle businesses into two independent listed companies to sharpen focus and unlock value.
- The passenger vehicle division will be renamed Tata Motors Passenger Vehicles Ltd (TMPVL).
- The commercial vehicle business will trade separately under the Tata Motors Ltd (TML) banner starting November 2025.
Market Reaction
Shares of Tata Motors gained on the news, emerging among the top gainers on the Nifty50 index. At around 12 p.m. on Wednesday, the stock was trading at ₹701.90 per share on the NSE, up 3.46%.
What It Means for Shareholders
For Tata Motors investors, the demerger presents an opportunity to hold stakes in two focused entities:
- One dedicated to passenger vehicles, including EVs.
- The other to commercial vehicles, a sector with strong growth prospects amid India’s infrastructure expansion.
Reporter’s Note
Paras Bisht, financial journalist with over 10 years’ experience, specializes in tracking stock market movements and policy shifts impacting investors and the broader economy. At Moneycontrol, he focuses on decoding trends and bringing timely, in-depth insights for readers.
