Tata Motors says hello to TPG Rise to unlock EV's huge potential
This transaction assigns a post money valuation of $9.1 billion (Rs 68,250 crore) to TML’s EV business, which is 45 per cent of the current market capitalisation of the listed entity TML.
October 13, 2021 / 11:11 AM IST
PRO Only Highlights
Quarterly performance largely backed by improved realisations
Medium-term triggers China plus and protectionist measures for tyre industry
Valuations not inexpensive; but improved medium-term outlook
Tata Motors (TML; CMP: Rs 421.3, Mcap: Rs 1,50,000 crore) is stepping on the gas to move towards a cleaner energy and environment-friendly transportation and to capture the significant opportunity that electric vehicles (EVs) offer.
TML has entered into an agreement with TPG Rise for equity funding of $1 billion (Rs 7,500 crore) for a stake of 11-15 per cent in a separate entity (EVCo) that will be created to focus only on the EV segment. This transaction assigns a post money valuation of $9.1 billion (Rs 68,250 crore) to TML’s EV business, which is...