Tata Motors acquires 26% stakes in renewable energy SPVs

Tata Motors Limited, alongside its wholly-owned subsidiary Tata Motors Passenger Vehicles Limited (TMPVL), has acquired a 26% equity stake in TP Paarthav Limited (TPPL), a Special Purpose Vehicle of Tata Power Renewable Energy Ltd. TPPL, incorporated in September 2023, will engage in power generation, including solar power and captive generation, and sale of electrical energy. The acquisition cost for TPPL is ₹10.41 crore, based on a ₹10 per share value.

Concurrently, TMPVL and Tata Passenger Electric Mobility Limited (TPEML) have acquired a 26% equity stake in TP Marigold Limited (TPML), another Special Purpose Vehicle under TPREL. TPML, incorporated in October 2023, mirrors TPPL's business activities in power generation. The cost for the TPML stake is ₹28.78 crore, also at ₹10 per share.

These acquisitions aim to optimize Tata Motors' power costs and reduce its carbon footprint by transitioning from grid power to cost-effective renewable energy sources. Both TPPL and TPML are yet to commence operations.