India, Oct. 14 -- Tata Motors shares fell nearly 40% in early trade on October 14, 2025, after the company completed its demerger into two separate entities - Tata Motors Passenger Vehicles Limited and TML Commercial Vehicles Limited.

The stock opened at Rs.399 on the BSE, sharply lower than Monday's closing price of Rs.660.90. The decline came right after the company officially split its commercial vehicle and passenger vehicle businesses.

Market experts explain that the steep fall is purely technical and not a cause for concern. It reflects the adjustment in the stock's value after the demerger and does not impact investors' total holdings.

Simply put, Tata Motors has now divided its commercial vehicle arm into a new company. As a re...