Tata Motors is in talks with several automakers to sell as much as 49 percent of its holding in its passenger vehicle business, as per a report.
Tata Motors has begun working on its plan to induct a foreign partner into passenger vehicle business and might transfer the unit for Rs 9,417 crore.
The group is in talks with several automakers, including European and East Asian companies, to sell as much as a 49 percent holding in its passenger vehicle business, according to a report by The Times of India.
"The India passenger car business is something that we want to run and hence, we will not hand over majority control of the unit," an official told the publication.
Moneycontrol could not independently verify the story.
Tata Motors' subsidiary TML Business Analytics Services will be renamed Tata Motors Passenger Vehicles, and will issue fresh shares to the parent company towards the Rs 9,417 crore payment.
Tata Motors held discussions with some Chinese automobile companies, including Geely, Changan, and Chery, which is a 50 percent partner in Jaguar Land Rover's (JLR) China venture, the report said.
Strained relations between India and China had put a dent in the deal talks, a source said as per the report.
Among European automakers, Tata Motors has held talks with France's PSA, the report said. But since PSA has merged with Fiat Chrysler, the process has slowed down.