- Tata Motors' commercial vehicles unit lists separately on stock exchanges on November 12
- Demerger effective October 1 splits company into Tata Motors CV and Passenger Vehicles
- Shareholders get one TMLCV share for every Tata Motors share held as of October 14
Tata Motor's restructuring saga is finally coming to a close on Wednesday. The company's commercial vehicles business will make its independent debut on the stock exchanges, officially marking the breakup of one of India's largest auto companies.
The demerger legally took effect on October 1, 2025, splitting Tata Motors into two separately listed entities:
Tata Motors Commercial Vehicles Ltd (TMLCV) – trucks, buses, logistics and goods transport
Tata Motors Passenger Vehicles – passenger cars, electric vehicles (EVs), and Jaguar Land Rover (JLR)
Here's everything investors need to know about the demerger:
Under the approved Composite Scheme of Arrangement, every Tata Motors shareholder receives one equity share (Rs 2 each) of TMLCV for every one equity share (Rs 2 each) held in Tata Motors as of the record date, October 14, 2025.
For the first 10 trading sessions, the newly listed CV stock will trade under the trade-for-trade segment, meaning no intraday trading. Investors can only buy shares if they intend to take delivery — a standard listing requirement.
The listing follows approvals from stock exchanges and a clearance from the National Company Law Tribunal earlier this year. With this final step, the restructuring journey announced years ago to bring sharper focus to the company's businesses is now complete.
What changes now? The CV company will operate as a pure commercial and industrial mobility player. The PV company sharpens its focus on EVs, passenger cars and JLR's global luxury platform.
For shareholders, the move is expected to unlock clearer value. Each business can now attract investors based on its distinct growth thesis: steady industrial growth in CVs versus electric and premium expansion in PVs.
And there's more action coming up: Tata Motors Passenger Vehicles will announce its first quarterly results post-demerger on Friday, November 14.
Investors don't need to do anything, as the new shares should automatically appear in demat accounts once trading begins on November 12. After that, the market decides the value of the newly separated entity.
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