N Chandrasekaran, Chairman, Tata Motors Limited, joined by Girish Wagh, MD & CEO, Tata Motors Limited, Prof Subhasis Chaudhuri, Chairman, BSE Limited and Mr. Sundararaman Ramamurthy, MD & CEO, BSE Limited, at the bell ringing ceremony marking the listing of Tata Motors Limited, the commercial vehicle business entity following the demerger.
| Photo Credit: Special Arrangement
The shares of the commercial vehicles division of Tata Motors were listed on the stock exchanges on Wednesday (nOVEMBER 12, 2025) with a premium of over 26% to it’s implied value of about ₹261.90 per share.
This follows the demerger of this division from the passenger car business effective October 1, 2025.
The company that now houses the commercial vehicles business is called Tata Motors Ltd (TML) while the passenger car business that also includes EVs and JLR is now a separate company called Tata Motors Passenger Vehicles Ltd.
The Tata Motors shares on Wednesday (November 12) opened at ₹330.25 on the BSE and were trading lower at ₹224.90 per share, down 1.28% from the listing price. The shares are trading under the symbol TMCVL.
The Sensex was up 688 points or 0.82% at 84,560 points at the time of filing this report.
Commenting on the listing Jahol Prajapati, Research analyst, SAMCO Securities said”. “The listing is a major step in unlocking long-term value. The demerger separates the fast-growing passenger vehicle and EV business from the more stable, cash-generating CV business, allowing investors to value each on its own strength. “
Tata Motors to demerge passenger, commercial business into two separate listed entities
“Shareholders have get one share of TML CV for every Tata Motors share held, so there’s no dilution of ownership.
“The CV arm is at the heart of India’s growth story — supporting logistics, mining, and infrastructure expansion. With freight activity improving, commodity costs easing, and the GST rate cut from 28% to 18%, demand for commercial vehicles is expected to rise sharply. Fleet replacement and new demand from construction and logistics players will add further momentum,” he said.
“Financially, the business reported FY25 revenue of ₹75,055 crore and EBITDA of ₹8,856 crore, implying a healthy 11.8% margin. Using Ashok Leyland’s EV/EBITDA multiple of 12.9x, the fair value for TML CV comes around ₹1.14 lakh crore, or roughly ₹310–₹320 per share,” he added.
“The listing removes the “conglomerate discount” and gives investors a focused bet on India’s commercial vehicle upcycle — a steady, cash-rich, value-driven play backed by improving policy and economic tailwinds,” he further said.
Published – November 12, 2025 12:36 pm IST
