Tata Motors to split business operations into two separate entities of CVs and passenger cars
By RACE Innovations Pvt Ltd - 2nd September 2024
Tata Motors to split businesses into two separate entities
India - Tata Motors Ltd of Mumbai, a manufacturer of passenger cars and commercial vehicles is to split the business into two separate entities or trading companies; one responsible for commercial vehicles and the other one responsible for passenger cars. The formal split and formal establishment of the two entities will take place at the start of the next fiscal year, i.e. April 1, 2025.
August 1, 2024, the Board of Directors of Tata Motors Ltd (TML) announced its approval for the demerger of Tata Motors Ltd under the so called Composite Scheme of Arrangement, which was first announced in March this year. The Scheme’s first step involves the demerger of its CV business (referred to as TML Commercial Vehicles Ltd or TMLCV) from TML; while Tata Motors Passenger Vehicles Ltd (TMPV) is to be incorporated within the existing Tata Motor Ltd.
