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Tata Motors Finance merges with Tata Capital after NCLT approval

Tata Motors Limited has officially confirmed the successful merger of Tata Motors Finance Limited (TMFL), a step-down wholly owned subsidiary, with Tata Capital Limited (TCL). The merger was sanctioned by the Hon'ble National Company Law Tribunal (NCLT), Mumbai Bench, on May 6, 2025, and became effective upon filing of the certified order with the Registrar of Companies on May 8, 2025. As a result, TMFL has ceased to be a subsidiary of Tata Motors Limited. The merger was conducted through a Scheme of Arrangement under Sections 230 to 232, along with Sections 52 and 66 of the Companies Act, 2013. The original proposal was disclosed to the stock exchanges on June 4, 2024, following board approvals from both TMFL and TCL. According to financial disclosures, TMFL contributed ₹3,996 crore to Tata Motors' consolidated revenue from operations in the financial year ending March 31, 2024, representing 0.91% of total revenue. TMFL's net worth stood at ₹4,797 crore, amounting to 5.65% of Tata Motors' consolidated net worth. The transaction is not categorized as a conventional sale. No agreement for sale was executed. Instead, the transfer was executed through a statutory amalgamation, with the shareholders of TMFL receiving 37 equity shares of ₹10 each in Tata Capital Limited for every 100 equity shares of ₹100 held in TMFL. This development was aligned with applicable regulatory requirements, including approvals from the Reserve Bank of India, stock exchanges, and other statutory bodies. The implementation was also guided by the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, particularly Regulation 30 and related provisions. Tata CapitalTata Motors Finance Aman Shukla is a post-graduate in mass communication . A media enthusiast who has a strong hold on communication ,content writing and copy writing. Aman is currently working as journalist at