Tata Motors Demerger: Commercial Vehicles Arm Renamed as Tata Motors Ltd After Record Date Transition

The Tata Motors demerger has now reached a decisive stage, and the final structure of the company is taking clear shape. The long-awaited split between the passenger vehicle and commercial vehicle businesses has moved one step closer to full implementation.

For many market watchers, this transition has been unfolding steadily over the past few weeks. And each update has added another layer to the story of one of India’s biggest auto restructurings.

Market Performance: How the Demerger Reflects on Tata Motors Share Price

The reshuffling inside the group has naturally kept the Tata Motors share price and its newly formed entities in the spotlight. The shift from a unified structure to two independent companies—one dedicated to passenger vehicles and the other to commercial vehicles—has created fresh interest among investors tracking Indian stock market developments.

With the Tata Motors demerger record date already completed on October 14, 2025, shareholders now hold parallel stakes in both listed entities.

• Tata Motors Passenger Vehicles Ltd (TMPV)
• Tata Motors Commercial Vehicles Ltd (TMLCV) — now renamed as Tata Motors Ltd

This transition has reshaped how the market reads the valuation and business structure of each arm.

Main News: Tata Motors Commercial Vehicles Division Renamed as Tata Motors Ltd

The latest update came when the company confirmed that TML Commercial Vehicles Ltd has officially been renamed as Tata Motors Ltd. This change has been formalised through a fresh Certificate of Incorporation dated October 29, 2025.

This step is part of the broader Tata Motors demerger framework, which was approved under the Composite Scheme of Arrangement. It marks one of the final formalities in separating the company’s two large business verticals.

Earlier in the month, on October 13, 2025, the parent company—known globally as Tata Motors—was itself renamed as Tata Motors Passenger Vehicles Ltd (TMPV). Both name changes are linked directly to the restructuring process.

Demerger Details: Effective Date, Record Date, and Share Allotment

The timeline of the demerger has been mapped out in a structured way:

Key Dates from the Tata Motors Demerger

• Effective Date: October 1, 2025
• Record Date: October 14, 2025

On the record date, shareholders received:

• 1 share of Tata Motors Commercial Vehicles Ltd (TMLCV)
  for every share owned in Tata Motors Ltd

This resulted in shareholders having ownership in both the commercial vehicle company and the passenger vehicle company—setting the stage for independent listing of the two entities.

The next phase will see each business being evaluated separately by the market, based on its operating model.

Company Details: What Each Entity Will Now Focus On

With the demerger nearly complete, both arms of the Tata Motors ecosystem now have clear mandates.

Tata Motors Passenger Vehicles Ltd (TMPV)

Responsible for:

• Passenger vehicles
• Electric mobility
• The expanding Tata.ev portfolio

TMPV holds the consumer-facing side of the business, including EVs—one of the fastest-growing categories in the Indian automotive market.

Tata Motors Ltd (Commercial Vehicles Entity)

Focused on:

• Trucks
• Buses
• Fleet mobility solutions

The commercial vehicle arm, now carrying the Tata Motors name, will operate as a standalone mobility and transport powerhouse.

Tata Motors Passenger Vehicles Share Price Discovery

After the record date, the Tata Motors Passenger Vehicles share price was discovered at ₹400 on the NSE.

This came against the pre-demerger closing price of ₹660.75, reflecting the separation between the passenger vehicle and commercial vehicle valuations.

Based on the residual value, this implies that the commercial vehicles entity stands around ₹260.75 per share.

This price discovery outlines how the market is interpreting the standalone passenger vehicle business.

Business Positioning: Tata Motors Holds Strong CV Leadership

The commercial vehicle division continues to hold a strong presence in the domestic automotive market, particularly with:

• A market share of over 37% in commercial vehicles
• Operational presence across multiple international markets
• Strategic partnerships and global footholds in mobility solutions

With the demerger, the Tata Motors commercial vehicles share listing will now be viewed independently, with comparisons naturally emerging against other pure-play CV manufacturers.

Summary

The Tata Motors demerger has now taken its final shape with two key updates:

• The commercial vehicles business has been officially renamed as Tata Motors Ltd.
• The original parent has transitioned into Tata Motors Passenger Vehicles Ltd (TMPV).

With the effective date, record date, and share allotment completed, both businesses now stand as independent entities. Each carries a distinct identity, operational vision, and market presence.

The restructuring marks a landmark moment not just for Tata Motors but for the broader Indian stock market, where the two divisions will now chart their paths separately—one in passenger mobility and EVs, the other in commercial transport and fleet solutions.