From October 24, Tata Motors shares will trade under a new name — Tata Motors Passenger Vehicles (TMPV) — marking a major milestone in the company’s restructuring journey. This change follows the recently completed demerger process, separating Tata Motors’ commercial vehicle (CV) and passenger vehicle (PV) divisions into two distinct listed entities.

According to an update from the Bombay Stock Exchange (BSE), the stock name and symbol have officially been updated from Tata Motors Ltd to TMPV effective Friday.

Part of Tata Motors’ Restructuring Plan

The demerger, effective from October 1, 2024, was designed to give each business greater strategic focus and operational independence. Under the approved scheme, the commercial vehicle business will continue under the Tata Motors brand, while the passenger vehicle business — which includes domestic passenger cars, electric vehicles (EVs), and Jaguar Land Rover (JLR) — will now operate under Tata Motors Passenger Vehicles (TMPV).

The move is aimed at faster decision-making, better capital allocation, and clearer valuation for investors. Shareholders received shares in a 1:1 ratio — one share of the new commercial vehicle company for every one share held in Tata Motors. The record date for this demerger was October 14.

Market Reaction and Analyst Views

Following the record date, Tata Motors’ stock saw a technical correction of around 40%, as the market began valuing the two newly formed entities separately. Analysts view this as a temporary adjustment.

Nomura has set a target price of ₹367 for TMPV and ₹365 for TMLCV (the commercial vehicle unit). SBI Securities, meanwhile, expects TMPV to trade between ₹285–₹384 and TMLCV between ₹320–₹470.

Market experts believe the separation will help investors assess the performance and growth potential of each segment more clearly. The commercial vehicle division is expected to be listed separately on the stock exchanges in the coming weeks, pending regulatory approvals.