Tag: TATA MOTORS

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Tata Motors to Divest 9% Tata Technologies Stake

According to Tata Motors the transaction to be completed by October 27 or such other date as may be mutually extended by the parties….reports Asian Lite News

Automobile major Tata Motors Ltd on Friday said it will sell its 9 per cent stake in Tata Technologies Ltd to TPG Rise Climate for Rs.1,467 crore

It also said it will sell 0.9 per cent stake in Tata Technologies to Ratan Tata Endowment Foundation for Rs 146.7 crore.

In sum, Tata Motors will be raking in Rs.1,613.7 crore from these two transactions with its subsidiary Rs 4,414.18 crore turnover Tata Technologies’ equity valued at Rs.16,300 crore.

In a regulatory filing, Tata Motors said that share purchase agreements with TPG Rise Climate and Ratan Tata Endowment Foundation have been inked.

According to Tata Motors the transaction to be completed by October 27 or such other date as may be mutually extended by the parties.

Tata Technologies is a global engineering services company offering product development and digital solutions to global original equipment manufacturers. The company has deep domain expertise in the automotive industry and leverages this expertise to serve clients in adjacent industries, such as in aerospace, transportation, and construction heavy machinery.

TPG Rise Climate is the dedicated climate investing arm of TPG’s $18 billion global impact investing platform. The fund focuses on five climate sub-sectors: energy transition, green mobility, sustainable fuels, sustainable molecules, and carbon solutions.

TPG Rise Climate had earlier invested $1 billion in Tata Passenger Electric Mobility Ltd and is a strategic partner in Tata Motor’s journey to create a market-shaping electric passenger mobility business in India.

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Tata Motors to build battery factory in Somerset

Tata Motors

The official announcement is expected, with reports suggesting substantial government subsidies have been provided to support the project…reports Asian Lite News

Tata Group, the owner of Jaguar Land Rover, is set to unveil its plans for a prominent electric car battery factory in Somerset, UK, in a significant boost to the country’s automotive industry. The plant is expected to generate up to 9,000 jobs.

The official announcement is expected, with reports suggesting substantial government subsidies have been provided to support the project.

The investment in the battery factory could potentially generate up to 9,000 jobs in the Bridgwater area. Notably, this initiative holds immense importance for the automotive sector as it shifts from traditional petrol and diesel vehicles to the production of electric cars.

Criticism has been directed towards the UK government for its perceived lack of a clear industrial strategy and for falling behind the US and EU in attracting investments in low-carbon technologies.

The Tata battery investment is expected to serve as a catalyst, encouraging further investments in battery manufacturing within the UK. Presently, the UK has only one operational battery plant located near Nissan’s Sunderland factory, with another facility in the early stages of development in Northumberland.

In contrast, the European Union boasts 35 operating, under-construction, or planned battery plants. Closing this gap in battery production capacity is crucial for the UK.

The UK government has outlined ambitious net zero goals, including a ban on the sale of new petrol and diesel cars starting in 2030.

The establishment of the Somerset factory will facilitate the supply of batteries for a new lineup of electric Jaguar and Land Rover models, supporting the country’s transition to cleaner transportation.

While Tata Group, an Indian multinational, did consider an alternative site in Spain for the battery plant, its decision to select the UK is seen as a major victory for the British government. This choice reinforces the attractiveness of the UK as an investment destination for global companies. Reports suggest that a substantial level of subsidies, in the form of cash grants, energy cost discounts, and funding for training and research, has been provided to Tata for this project.

The specific details and size of the incentive package have not been disclosed. Furthermore, the UK government is expected to offer approximately £300 million (over US$39 million) to subsidise, upgrade, and decarbonise Tata’s steel operations, including the Port Talbot plant in South Wales.

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Business India News Technology

Tata Motors, Uber ink EV deal

The collaboration represents the largest EV partnership yet between an automaker and a ridesharing platform in the country….reports Asian Lite News

Tata Motors on Monday signed a memorandum of understanding (MoU) with ride-hailing platform Uber to induct 25,000 XPRES-T electric vehicles into its premium category service in India.

The collaboration represents the largest EV partnership yet between an automaker and a ridesharing platform in the country.

In July 2021, Tata Motors launched the ‘XPRES’ brand exclusively for fleet customers, and the XPRES-T EV is the first vehicle under this brand.

Tata Motors will help Uber electrify its services across Delhi-NCR, Mumbai, Kolkata, Chennai, Hyderabad, Bengaluru and Ahmedabad.

The company will begin the deliveries of the cars to Uber fleet partners in a phased manner, starting this month.

“The XPRES-T EV is a very attractive option both for customers and operators. While enhanced safety, silent and premium in cabin experience provides the customers with a relaxed ride, the fast charging solution, driving comfort and the cost effectiveness of the EV makes it an attractive business proposition for our fleet partners,” said Shailesh Chandra, MD, Tata Motors Passenger Vehicles and Tata Passenger Electric Mobility,

The new XPRES-T electric sedan comes with 2 range options — 315 km and 277 km.

It packs a high-energy density battery of 26 kWh and 25.5 kWh and can be charged from 0-80 per cent in 59 minutes and 110 minutes, respectively, using fast charging or can also be normally charged from any 15 A plug point, which is easily available and convenient.

It comes with zero tail-pipe emission, single speed automatic transmission, dual airbags, and ABS with EBD as standard across variants.

The premium interiors with standard automatic climate control and electric blue accents across its interior and exterior will give it a differentiated presence from other Tata cars.

“It will supercharge the transition to zero emissions on the Uber platform as we work towards building a sustainable future. We are committed to doing our part to bring down the barriers to going electric by working with industry partners that are leading the change,” said Prabhjeet Singh, President, Uber India and South Asia.

Tata Motors has rolled out over 50,000 EVs to date in the personal and fleet segment.

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Business India News

Centre’s infra push leads to gradual recovery in CV segment

In a conversation Girish Wagh, Executive Director, Tata Motors, cited a gradual recovery in demand post the second wave…reports Rohit Vaid

The Centre’s accelerated infra push along with healthy demand from the e-commerce sector has led to a gradual recovery in the commercial vehicle (CV) segment, said automobile major Tata Motors.

Notably, the segment went through a major downturn during the peak of the Covid-19 pandemic.

In a conversation Girish Wagh, Executive Director, Tata Motors, cited a gradual recovery in demand post the second wave.

Accordingly, the recovery was triggered on the back of increase in economic activity, which along with a robust rural economy has driven the sales of CVs.

“Increased activity in the last-mile applications like ‘FMCG’, ‘FMCD’, agriculture supplies, and other e-commerce products have been major catalysts for the increase in demand in small commercial vehicles (SCVs) and intermediate and light commercial vehicles (I&LCVs),” he said.

“M&HCVs (medium and heavy commercial vehicles) have witnessed gradual demand recovery from construction, mining and e-commerce sectors.”

In the medium term too, he said the trend is expected to continue due to the revival in growth of the construction and e-commerce sector.

Besides, he cited Centre’s recently announced initiatives such as the scrappage policy and the Production Linked Incentive Scheme (PLI) in driving the demand for commercial vehicles in the near future.

“Freight and diesel rate spread has improved sequentially, indicating a revival in demand for freight transport, although the transporter profitability may still be under stress.

“Better freight demand from sectors such as infrastructure development, mining, cement and steel augurs well and is expected to provide the much-needed push for the CV Industry,” he added.

According to Wagh, the market situation is improving and the company is optimistic as the infrastructure project gains execution momentum.

“The government’s announcement of the National Infrastructure Pipeline (NIP) worth Rs 102 lakh crores until FY24 and a 26 per cent on-year increase in the Capex allocation for FY22 with a sharp focus on infrastructure will support M&HCVs growth in the short to medium term.”

At present, Tata Motors has the widest portfolio in the market. It recently unveiled 21 vehicles across segments.

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