Tata Motors announced on Thursday that it would implement a price hike of up to 2 per cent on its commercial vehicles starting April 1 to compensate for lingering effects from previous input cost increases.
Tata Motors has not disclosed the specific percentage increase for each model.
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Although the degree of increase will vary based on individual models and variants, it will be implemented uniformly across the entire spectrum of commercial vehicles, Tata Motors said in the regulatory filing.
India's leading automaker by revenue had previously raised prices for its commercial vehicle range by up to 3 per cent in January.
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Earlier this week, Tata Motors announced its decision to undergo a strategic split into two separate listed companies, effectively segregating its Commercial Vehicle (CV) business from its passenger vehicle arm.
The restructuring involves consolidating the commercial vehicles business and its related investments into one entity, while the passenger vehicle business, encompassing electric vehicles, Jaguar Land Rover (JLR), and associated investments, will form the second entity.
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Moody's on Wednesday affirmed Tata Motors' Ba3 corporate family rating with a positive outlook, including the Ba3 senior unsecured instrument ratings for Tata Motors Ltd.
Despite the demerger, Moody's noted Tata Motors' strong position in India's commercial vehicle industry, expecting ample free cash flow and robust credit metrics for its commercial vehicle operations. The rating also incorporated a one-notch uplift, anticipating extraordinary support from parent company Tata Sons Ltd when needed.
The stock of Tata Motors climbed 2.14 per cent to settle at ₹1,039.35 apiece on the BSE. During the day, it jumped to ₹1,046.85.
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On the NSE, shares of the company went up by 2.13 per cent to settle at ₹1,039.30 each. During the day, it zoomed to ₹1,047.
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