Shares of Tata Motors climbed nearly 3% on Friday, in an otherwise volatile broader market, amid a report that the auto major is planning to raise $500-600 million from global investors to expand its business in the electric vehicle (EV) space. The automobile company, which expects its EV business to account for 50% of its overall sales by 2030, plans to raise funds from global investors after it garnered $1 billion last year from TPG’s Rise Climate Fund and Abu Dhabi state holding company ADQ. The Tata Group company is betting big on EVs and plans to launch 10 new electric models by March 2026.
Tata Motors share price opened 1% higher at ₹404 against the previous closing price of ₹400.75 on the BSE. During the session, the auto heavyweight gained as much as 2.9% to hit an intraday high of ₹412.40 on the BSE. The stock currently trades 21% lower than its 52-week high of ₹523.05 touched on January 21, 2022. It hit a 52-week low of ₹366.05 on May 12, 2022.
Tata Motor shares have delivered a negative return of 21.5% in the last one year, while it dropped 11% in the past six months. In the last three months, the stock has risen 2%, while it dropped over 1% in a month. In the long term horizon, the auto major has gained 27% in three years, while it gave flat returns in the last five years.
Earlier this week, the company announced a drop in the price of its Nexon EV range in India, with the Nexon EV Prime now starting at ₹14.49 lakh (ex-showroom) and the Nexon EV Max at ₹16.49 lakh (ex-showroom) onwards. The auto major stated that it has started the bookings for the entire Nexon EV Line-up, while deliveries of the new variant, Nexon EV MAX XM will commence from April 2023 onwards.
Speaking on the completion of three years of the Nexon EV launch in India, Vivek Srivatsa, head-marketing, sales and service strategy, Tata Passenger Electric Mobility had said, “We are committed to making sustainable transportation accessible to everyone, and this repositioning is a big step in that direction. Our smart engineering and government incentives have allowed us to achieve this disruption, maintaining the same high level of quality and service, our customers expect from us. With this, we are confident that more and more customers will make the switch to e-mobility."
At the Auto Expo 2023, Tata Motors unveiled 14 exclusive vehicles and concepts, designed to transform personal mobility, people mobility and cargo transport. The company aims to achieve net-zero emissions by 2045 with the widest range of smart and green technologies in multi-fuel options. Speaking about the future of mobility from the commercial vehicle perspective, Girish Wagh, executive director, Tata Motors, had said, "We are leading the global megatrend of sustainable, connected, and safer mobility in India. With our goal to achieve net-zero emissions by 2045, we are transforming mobility by re-imagining our entire product portfolio, value chain and operations. Today, we have unveiled India’s cleanest, smartest, and most advanced range of logistics and mass mobility solutions across all segments of commercial vehicles.”
