Tata Motors demerger process is likely in its final phase as the automobile major has announced another crucial development in its corporate restructuring. The company said that its commercial vehicles arm, TML Commercial Vehicles Ltd, has been officially renamed as Tata Motors Ltd.
In a regulatory filing on Thursday, Tata Motors Passenger Vehicles said that as per the approved Composite Scheme of Arrangement, the name change has been formalised through a fresh Certificate of Incorporation issued on October 29, 2025.
Tata Motors Ltd was itself renamed as Tata Motors Passenger Vehicles Ltd (TMPV) on October 13, 2025, as part of the same demerger scheme. As per the Tata Motors demerger plan, the company’s passenger vehicle and commercial vehicle businesses have been split into two independent entities.
Tata Motors Demerger: Effective and Record Dates
Tata Motors demerger effective date was October 1, 2025, while the Tata Motors demerger record date was October 14, 2025. As part of the process, shareholders registered as of the record date received one share of Tata Motors Commercial Vehicles Ltd (TMLCV) for every one share held in Tata Motors Ltd. This resulted in parallel holdings in both TMLCV and Tata Motors Passenger Vehicles Ltd (TMPV).
Post-demerger, Tata Motors Passenger Vehicles Ltd will steer the passenger vehicle and electric mobility businesses, including the fast-growing EV portfolio under the Tata.ev brand. Meanwhile, the renamed Tata Motors Ltd will now focus exclusively on the commercial vehicle business, encompassing trucks, buses, and fleet mobility solutions.
Tata Motors Share Price & Valuation
On October 14, Tata Motors Passenger Vehicles share price was discovered at ₹400 apiece on NSE, compared with the pre-demerger close of ₹660.75. This implies a valuation of around ₹260.75 per share for Tata Motors Ltd (Commercial Vehicle entity), based on the residual value.
Brokerage firm Nomura has valued Tata Motors Passenger Vehicles (TMPV) at ₹367 per share and Tata Motors shares at ₹365 per share.
Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd. values the standalone Tata Motors at approximately ₹400 per share.
Tata Motors holds a strong leadership position in the commercial vehicle segment, with a domestic market share of over 37%, complemented by its international presence, including a stake in the Iveco Group. Post-demerger, the CV business will likely be compared against pure-play peers such as Ashok Leyland.
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