Tata Motors to Issue NCDs at 7.08% to Raise Rs 500 Cr

Tata Motors board committee has approved the issuance of non-convertible debentures (NCDs) worth up to Rs 500 crore via private placement. The Tata Group’s auto company will issue NCDs in two tranches and will carry a fixed coupon rate of 7.08% per annum, Cnbctv18 reported. The company has set May 13, 2025, as the date for allotment of both tranches. 

Tata Motors, in the first tranche, will issue up to 30,000 NCDs of Rs 1,00,000 each, aggregating to Rs 300 crore. Under the second tranche, the company will issue up to 20,000 NCDs of Rs 1,00,000 each, a total of Rs 200 crore.

Also Read: Tata Motors Shares Play Red Light-Green Light After April Domestic Sales Fell 7%

Tranche I and II will mature on May 11, 2028 and May 12, 2028, respectively. Tata Motors will pay interest on these NCDs annually, and the principal will be repaid in a single payment at maturity. The NCDs issued by the company will be unsecure, listed, rated, and redeemable instruments. The company will list them on the wholesale debt market segment on the National Stock Exchange (NSE), Cnbctv18 reported.

Also Read: Tata Motors Posts Flat Domestic Sales Growth at 90,500 Units in March

Tata Motors Q4 Sales 

The Tata Group’s automaker reported a dip of 5% year-on-year in its total domestic sales at 2.46 lakh units in the fourth quarter of the financial year 2025 as compared with 2.60 lakh units sold in Q4FY24. Tata Motors’ total passenger vehicle sales dipped 9% YoY to 1.47 lakh units and total commercial vehicle sales decreased 3% YoY to 1.05 lakh units in Q4 FY25. 

Tata Motors April Sales 

In the month of April this year, the company reported a 6.1% YoY decrease in total vehicle sales to 72,753 units, compared to 77,521 units in April 2024. Total passenger vehicle (PV) sales declined 5% to 45,532 units in April 2025 from 47,983 units in the same month a year ago. 

On Friday, Tata Motors shares closed at Rs 652, up by 1.20% on NSE.