Share price of Tata Motors declined more than three per cent on Wednesday, June 9, after the company incorporated a subsidiary named TML CV Mobility Solutions. On Wednesday, Tata Motors opened on the BSE at Rs 356.50, swinging to an intra day high of Rs 358.80 and an intra day low of Rs 339.60, in the trading session so far. According to a regulatory filing by the company to the stock exchanges, TML CV Mobility Solutions will undertake and carry the business of providing end-to-end services of operating, repair etc. (Also Read: Tata Motors Raises $425 Million In Offshore Bonds To Pare Debt )
The subsidiary will also involve the annual maintenance contracts (AMC) and fleet management services (FMS) for its product range, including electric vehicles, electric buses, fuel cell buses, all types of commercial vehicles etc.
According to the statement, TML CV Mobility Solutions Limited is promoted by Tata Motors Limited and is a newly incorporated firm. The company has an authorized capital of 50,000 equity shares of Rs 10/- each aggregating to Rs 5,00,000, and Tata Motors Limited holds 100 per cent shareholding in TML CV Mobility Solutions Limited.
Meanwhile, on June 1, Tata Motors announced its monthly auto sales for May 2021. The company reported 24,552 units sold, marking a 38 per cent month-on-month decline in total domestic sales, compared to April. The company’s domestic sales in April 2021 stood at 39,530 units.
Recently, it raised $425 million through unsecured offshore bonds at a rate of 4.35 per cent to refinance existing debt and meet expenses, according to news agency Reuters.
Shares of Tata Motors were last trading 3.13 per cent lower at Rs 341.80 on the BSE.