Tata Motors Ltd.’s (TML) board, on 27th March approved the creation of a subsidiary for Tata Motors’s Passenger Vehicle (PV) and Electric Vehicle (EV) business by transferring relevant assets, IPs and employees directly related to the PV and EV business. Tata Motors plans to make the subsidiary to be fully functional on a standalone basis.
As per the press release of the company dated 27th March 2020, “The proposed transfer shall be implemented through a scheme of arrangement, which will be tabled for approval to the TML Board over the next few weeks. Implementation of the scheme will be subject to regulatory and statutory approvals as applicable, including approval of shareholders and creditors”. The transfer process is expected to be complete by next year.
Shailesh Chandra who at present is the President EV and Corporate Strategy has been appointed by the company as President PV business including EV business with effect from April 1, 2020.