Tata Motors to Raise ₹500 Cr via NCDs

has approved the issuance of ₹500 crore worth of unsecured, listed non-convertible debentures (NCDs) at a fixed coupon of 7.08% per annum through private placement. The raise is structured in two tranche, Tranche I will issue 30,000 NCDs of ₹1 lakh each totaling ₹300 crore, maturing on May 11, 2028, while Tranche II will cover 20,000 NCDs aggregating ₹200 crore, maturing on May 12, 2028. Both carry annual interest payouts with principal repaid in a single bullet payment at maturity. The issuance comes as the company reported a YoY decline of 22.5% in Q3FY25 net profit at ₹5,451 crore compared to ₹7,025 crore in Q3FY24. Revenue rose 1.8% YoY to ₹1.13 lakh crore, while EBITDA dropped 14.7% YoY to ₹13,081 crore. EBITDA margin compressed to 11.5% from 13.9% last year, reflecting moderation in operating efficiency. The fundraising indicates continued efforts to diversify funding sources while navigating near-term profitability challenges. Disclaimer: This post is for informational purposes only and not a recommendation to buy or sell any securities. I, or my family, associates, or relatives, may have a financial interest in the securities mentioned.