TVS Motor Invests Rs 172 Cr in Subsidiary TVS Credit Services

TVS Motor Company Limited has made an additional investment in its subsidiary, TVS Credit Services Limited. The company received a letter of allotment on November 3, 2025, confirming the subscription to 29,11,235 equity shares. This transaction increases TVS Motor’s ownership stake in the subsidiary from 80.69% to 80.76% on a fully diluted basis.

The aggregate cost of the investment is Rs 172 Cr, which was settled through a cash consideration. The acquisition involved 29,11,235 equity shares with a face value of Rs 10 each. This represents a direct acquisition of a 0.07% stake in the subsidiary. The transaction is classified as a related party transaction as TVS Credit is a subsidiary of the company. The filing confirms the transaction was executed at arm’s length, supported by a valuation report from a Registered Valuer.

TVS Credit Services Limited operates in the non-banking financial services industry. It is registered with the Reserve Bank of India as a non-deposit taking Non-Banking Finance Company, a status it has held since April 13, 2010. The company’s primary business involves providing financing for a range of products. These include two-wheelers, new and used tractors, used cars, consumer durables, and used commercial vehicles. The company also extends MSME loans.

The stated purpose of the investment is to improve the capital adequacy ratio of TVS Credit Services and to address other general corporate matters. For the financial year ended March 31, 2025, TVS Credit Services recorded a turnover of Rs 6,626 Cr. During the same period, its profit after tax (PAT) was Rs 7