Mumbai: Tata Motors’ big demerger plan is finally wrapping up, and it’s a pretty major shakeup for the company. They’ve just renamed their commercial vehicles arm—what used to be TML Commercial Vehicles Ltd is now officially Tata Motors Ltd. This change got the green light from regulators, and they made it official with a new Certificate of Incorporation on October 29, 2025.
Earlier in this whole process, the main Tata Motors Ltd also got a new name—now it’s Tata Motors Passenger Vehicles Ltd (TMPV), as of October 13, 2025. The whole idea behind this restructuring is to split the passenger vehicle and commercial vehicle businesses into two completely separate companies. Each one gets to focus on what it does best and chase its own growth.
The demerger kicked in on October 1, 2025, and the record date was October 14. If you were a shareholder on that day, you got one share of Tata Motors Commercial Vehicles Ltd (TMLCV) for every Tata Motors Ltd share you held. So now investors have stakes in both the commercial and passenger vehicle businesses. The plan’s pretty straightforward—make sure nobody loses out and keep things smooth for shareholders.
Now, what’s next for these two businesses? Tata Motors Passenger Vehicles Ltd takes on the passenger car and electric vehicle side, including the fast-growing Tata.ev lineup. The new Tata Motors Ltd, on the other hand, will focus only on commercial vehicles—trucks, buses, and fleet solutions. Analysts say splitting the company like this gives both sides a sharper focus and a better shot at growing value for investors.
As for the stock: after the demerger, Tata Motors Passenger Vehicles Ltd debuted at Rs 400 a share on the NSE on October 14. That’s down from the pre-demerger closing price of Rs 660.75. So, by the numbers, the commercial vehicle business—now Tata Motors Ltd—holds a residual value of about Rs 260.75 a share. Investors are waiting for the new Tata Motors Ltd to list in November, which should finally show how the market values the commercial vehicle business on its own.
Disclaimer: This article is for informational purposes only and not investment advice. Investors should review official filings and consult financial advisors before making any investment decisions related to Tata Motors.
