Tata Motors shares zoomed 19 per cent to a new 52-week high of Rs 502 on the news that private equity firm TPG Group will invest Rs 7,500 crore in its electric vehicle entity, TML EVCo. The first round of capital infusion will be completed by March 22 and the entire funds will be infused by end of 2022, Tata Motors said in a regulatory filing to the stock exchanges.
“I am delighted to have TPG Rise Climate join us in our journey to create a market-shaping electric passenger mobility business in India. …We are excited and committed to play a leading role in the government’s vision to have 30 percent electric vehicles penetration rate by 2030,” Tata Motors Chairman N Chandrasekaran said.
Tata Motors will create a portfolio of 10 EVs over the next five years and in association with Tata Power, will catalyse the creation of a widespread charging infrastructure to facilitate rapid EV adoption in India.
Tata Motors shares had soared around 30 per cent in the previous four trading sessions on the back of robust global wholesale numbers and record order book for Jaguar land Rover. Wholesales of all passenger vehicles in the second quarter of current fiscal jumped 11 per cent annually to 1,62,634 units and Jaguar Land Rover clocked global wholesales of 78,251 vehicles, including CJLR volumes of 14,219 units.
And with today’s runaway rally, Tata Motors’ shares have surged around 50 per cent in a matter of five trading sessions. In fact, the shares of the auto major have jumped around eight times from the lockdown lows of Rs 63.60 on March 24, 2020.
As of 11:45 am, Tata Motors shares are trading at Rs 497.70, up 18 per cent, on the BSE. The BSE Sensex and NSE Nifty are trading higher by 0.5 per cent at the time.