Tata Motors shares jump 5% to fresh 52-week high after Indonesian unit wins record order

Tata Motors share price

• Tata Motors' Indonesian unit secures order for 70,000 agriculture vehicles
• Shares of Tata Motors CV business jumped over 5 percent to a 52-week high
• Vehicles to aid rural logistics and agriculture supply chains in Indonesia

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The shares of Tata Motors, which now represent its CV business, jumped sharply in trade on February 11 after the company announced a strong order win for its Indonesian subsidiary.

Tata Motors shares jumped more than 5 percent to hit a fresh 52-week high of Rs 497.80 apiece on Wednesday.

Tata Motors announced that its wholly owned indirect subsidiary, PT Tata Motors Distribusi Indonesia, has entered into an agreement for the supply of 70,000 vehicles for deployment in Indonesia. This is biggest-ever order win for the subsidiary.

The vehicles will be used to support agricultural activities and rural logistics, including farm-to-market transportation and regional goods movement across the country, the automaker said.

“Tata Motors will support with supply of 35,000 units each of the Yodha (pick-up) and the Ultra T.7 (truck), to its subsidiary PT Tata Motors Distribusi Indonesia. The vehicles will be delivered to PT Agrinas Pangan Nusantara, an Indonesian state-owned enterprise, focused on modernising agricultural supply chains, empowering rural cooperatives and advancing national food security initiatives,” the company said.

Tata Motors added that through the Koperasi Desa and Kelurahan Merah Putih Project, which are two major strategic projects of Indonesia, the vehicles will also support the country’s broader nation-building efforts by strengthening rural connectivity, livelihoods and economic resilience.

Tata Motors said that its trucks and pick-ups are engineered for operating in diverse and demanding conditions, and will lower logistics costs while enabling efficient movement of goods across Indonesia. The fleet will be rolled out through agricultural cooperatives under a structured, phased delivery programme to ensure seamless integration and sustained operational impact across Indonesia, it added.

“This order reflects the continued acceptance of Indian commercial vehicles in international markets and the confidence of customers in their ability to operate reliably across diverse conditions. The Tata Yodha and the Ultra T.7 are designed for sustained performance, high uptime and efficient operating economics. Their deployment will support agricultural logistics in Indonesia by improving connectivity, enabling more efficient movement of goods across rural and regional networks. We remain committed to expanding the global footprint of Indian mobility solutions through vehicles and offerings that combine scale, reliability and sustained value creation for our customers,” said Asif Shamim, Director at PT Tata Motors Distribusi Indonesia.

Tata Motors CV share price:

The shares of Tata Motors’ commercial vehicle business were listed at Rs 335 apiece on the NSE on November 12. This marks a premium of more than 28.5 percent from the discovered price of Rs 260.75.

This came after the demerger of the automaker’s commercial vehicle business from its passenger vehicle segment. The shares of the passenger vehicle segment were discovered at a price of Rs 400 apiece on NSE on October 14.

The shares of the commercial vehicle business have so far rallied around 49 percent from its listing price.

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