Tata Motors has announced that the composite scheme of arrangement involving Tata Motors Limited (TML), TML Commercial Vehicles Limited (TMLCV), and Tata Motors Passenger Vehicles Limited (TMPV) is now effective as of October 1, 2025. As a result, TML will fix October 14, 2025, as the record date. Shareholders will receive one share of TMLCV for each share held in TML.
Scheme of Arrangement Effective
Tata Motors has confirmed that the composite scheme of arrangement amongst Tata Motors Limited (“TML”), TML Commercial Vehicles Limited (“TMLCV”), and Tata Motors Passenger Vehicles Limited (“TMPV”) has become effective as of October 1, 2025. This follows the sanction by the Hon’ble National Company Law Tribunal (“NCLT”) and related orders.
Record Date and Share Allotment
The company has set Tuesday, October 14, 2025, as the “Record Date” to determine eligible shareholders for the allotment. Eligible shareholders will be issued and allotted 1 (one) share (face value of INR 2/- each fully paid up) in TMLCV for every 1 (one) share (face value of INR 2/- each fully paid up) held in TML as per the Share Entitlement Ratio under the Scheme.
Key Changes Following the Scheme
Following the scheme:
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Commercial Vehicles undertaking of TML has been demerged into TMLCV.
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TML shall change its name to Tata Motors Passenger Vehicles Limited and continue the passenger vehicles business, including investments in Electric Vehicle business and JLR.
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TML Commercial Vehicles Limited will be renamed as Tata Motors Limited.
Share Price and Listing
On the Record Date, the share price of TML will be adjusted to reflect the demerger of the commercial vehicles business, based on price discovery mechanisms of the stock exchanges.
Upon finalizing the list of eligible Shareholders, the shares in TMLCV will be allotted and listed on the Stock Exchanges, viz., BSE and NSE.
During the period between allotment and listing, the shares of TMLCV will not be available for trading. The process of obtaining Listing and Trading permission generally takes 45-60 days from the date of filing the necessary application with Stock Exchanges.
Further Guidance
Guidance on ‘Cost of Acquisition’ of equity shares in TML and equity shares in TMLCV will be communicated separately.
Source: BSE
