Tata Motors Passenger Vehicles Ltd · NSE:TMPV
Tata Motors Passenger Vehicles — Tata Motors — Merger or Acquisition (March 2021)
16 slides from Tata Motors Passenger Vehicles's merger presentation, Mar 5, 2021
Slide 1: Tata Motors Group NCLT Convened Meeting
Tata Motors Group NCLT Convened Meeting | 5 March 2021
Slide 2: Group performance highlights: Q3FY21
Q3FY21 Consolidated Group performance highlights : Q3FY21 Despite pandemic related uncertainties and supply bottlenecks, expect to end FY21 on a strong note • Strong recovery trajectory continues in both CV and PV • CV : Broad based demand recovery in MHCV and ILCV • PV : “New Forever” range sales m
Slide 3: Revenue ₹75.7KCr, PBT ₹4.2KCr, Auto FCF ₹7.9KCr
Q3FY21 Consolidated Revenue ₹ 75.7KCr, PBT ₹ 4.2KCr, Auto FCF ₹ 7.9KCr Strong all-round performance with EBITDA @ ₹ 11KCr (14.8%, +540bps) Global Wholesales Revenue PBT (K units) ₹KCr ₹KCr YoY - 0.6 .% YoY +5.5% YoY +209% 275.9 274.2 75.7 71.7 4.2 202.4 53.5 1.4 -0.8 Q3'20 Q2'21 Q3'21 Q3'20 Q2'21 Q3
Slide 4: Revenue ₹14.6 KCr; EBIT breakeven, PBT (0.6KCr), FCF ₹2.2 KCr
Q3FY21 TML (S) Revenue ₹14.6 KCr; EBIT breakeven, PBT (0.6KCr), FCF ₹2.2 KCr Sequential improvement in performance; Strong cash flows continue Wholesales Revenue PBT (K units) ₹KCr ₹KCr YoY 18.8 % YoY 34.9% 153.5 14.6 129.2 110.0 10.8 9.7 -0.6 -1.0 -1.2 Q3'20 Q2'21 Q3'21 Q3'20 Q2'21 Q3'21 Q3'20 Q2'2
Slide 5: Passenger Vehicles
TATA MOTORS Connecting Aspirations Passenger Vehicles
Slide 6: Winning Sustainably in PV & Proactively in EV space
Winning Sustainably in PV & Proactively in EV space >10% market share in near term. Aim to be FCF positive by FY23 Reimagining Manufacturing & Structural Product Portfolio Brand Front-End Quality Leadership Margin Improvements • Forever New Range • Increase in Awareness, • Superior customer • Agile
Slide 7: Refreshed portfolio with "New Forever" Range of products
Refreshed portfolio with “New Forever” Range of products New age IMPACT-ful design. Built on 2 architectures driving scale and differentiation 7
Slide 8: Establishing itself as a leader in EV market
Establishing itself as a leader in EV market Both Nexon EV and Tigor EV are highest selling vehicles in respective segments Product Launches Nexon EV launched in Jan ’20 with cert. range of 312 km Tigor ER EV launched in Sep ’19 with cert. range increase from 140 km to 213 kms • #1 EV in India with
Slide 9: PV: Strong improvement in market shares
Q3FY21 : Passenger Vehicles PV: Strong improvement in market shares “New Forever” Range and focus on “Reimagining PV” yielding results Market shares POWERTRAIN MIX 9.5% 7.8% 7.9% 7.8% EV, 0.2% EV, 1% EV, 2% 6.3% Diesel, 28% Diesel, 17% Diesel, 38% 4.8% Petrol, 71% Petrol, 81% Petrol, 62% FY21 FY19 F
Slide 10: Volumes 68.9K (86%), Revenue ₹5KCr (79%)
Q3FY21 : Passenger Vehicles Volumes 68.9K (86%), Revenue ₹ 5KCr (79%) EBITDA 3.8% (+780bps) – Contribution margins, mix and operating leverage offset by commodity inflation Wholesales ( incl. exports) Retails (domestic) Revenue (K units) YoY 85.9 % Exports (K units) ₹KCr YoY 56.3 % YoY 78.5 % 5.0 0.
Slide 11: Subsidiarization of PV Business
Subsidiarization of PV Business
Slide 12: Transaction structure
Transaction structure Slump sale on a going concern basis undertaken through a NCLT scheme of arrangement Schematic representation of transaction structure TML CV Business Other subsidiaries, JVs and investments PV (incl EV) Business Slump Sale Transaction Final Structure • TML to continue to hold 1
Slide 13: Salient features of the scheme
Salient features of the scheme Ensures that new entity formed is fully functional on a standalone basis. Synergies with TML to be maintained Terms Particulars • All land, factories pertaining to PV business (Sanand, Pune) Factories & Other • Few other real estate properties, corporate offices Assets
Slide 14: PV business valuation for slump sale
PV business valuation for slump sale Consideration to be settled in the form of issue of shares of TBASL. No impact on TML shareholders • Subsidiarization is an internal restructuring and does not have any economic impact for TML shareholders • Capital reduction does have any impact on TML sharehold
Slide 15: Current status
Current status Substantial progress already made. Target to achieve closure by June 2021 post final NCLT approval • NOC from stock exchanges received • NCLT order for meeting of TML shareholders and secured creditors on 5th March 2021 for approval of scheme with requisite majority • Provisional NOC
Slide 16: Thank You
Thank You NCLT Convened Meeting | 5 March 2021