The Competition Commission of India has approved the merger of Tata Motors Finance Limited (TMFL) with Tata Capital Limited (TCL). Tata Motors will own a 4.7% stake in the new entity, as TCL will issue shares to TMFL shareholders.
This merger, approved by both companies' boards in June, is part of Tata Motors' plan to focus on core automotive operations and innovative technologies. Tata Capital will expand in vehicle financing, targeting both commercial and passenger sectors with new financial products and digital solutions.