Tata Motors renames itself as Tata Motors Passenger Vehicles post demerger

New Delhi: Tata Motors has officially been renamed Tata Motors Passenger Vehicles, with the new scrip ID ‘TMPV’ now reflecting on the stock exchanges. The development follows the company’s demerger of its commercial vehicle business earlier this month.

The shares of the demerged commercial vehicle arm are expected to be listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) at a later date.

Earlier this month, Tata Motors fixed October 14, as the record date to determine shareholders eligible to receive shares in the newly separated commercial vehicle entity. Investors who held Tata Motors shares as of that date will receive one share of the demerged company for every share they own in Tata Motors.

The shares of TML Commercial Vehicles (TMLCV) are expected to begin trading on BSE and NSE in November. The demerger formally took effect on October 1, with the stock adjustment carried out on October 14.

In August 2024, Tata Motors’ board had approved the demerger of its commercial and passenger vehicle divisions into two independently listed companies to sharpen business focus and capitalise on growth opportunities. Following the split, the passenger vehicle arm has been renamed Tata Motors Passenger Vehicles (TMPV), while the commercial vehicle business will be listed under Tata Motors (TML) in November.

The 1:1 demerger has resulted in the creation of two focused entities, Tata Motors Commercial Vehicles (TMLCV) and Tata Motors Passenger Vehicles (TMPV).

Following the change, Tata Motors Passenger Vehicles shares traded at Rs 406.25 apiece with marginal losses at 9:50 am. The stock had opened at Rs 400 apiece on October 14, after a special price discovery session and has risen by nearly 2% since then.