TVS Motor Company Ltd has increased its stake in subsidiary TVS Credit Services Ltd (TVS CS) to 85.15% by acquiring 4.39% equity from Lucas-TVS Ltd for an aggregate cash consideration of ₹711 crore.
The transaction involved the acquisition of 1,13,37,297 equity shares of TVS Credit Services and was completed on July 27, 2026, the company said in a regulatory filing.
Following the acquisition, TVS Motor’s shareholding in the non-banking finance company (NBFC) has increased from 80.76% to 85.15% on a fully diluted basis.
Move to consolidate ownership
TVS Motor said the acquisition is part of its strategy to consolidate its ownership in TVS Credit Services by acquiring shares held by other shareholders.
The company expects the move to streamline the ownership structure and improve operational efficiencies across the group.
The company also clarified that the acquisition is not a related-party transaction under applicable regulations, and that the shares were acquired from Lucas-TVS Ltd at an agreed price.
Strengthening presence in financial services
TVS Credit Services is registered with the Reserve Bank of India (RBI) as a non-deposit-taking non-banking financial company (NBFC). The company provides a range of lending products, including vehicle finance, consumer durable loans and small business loans.
For the financial year ended March 31, 2026, TVS Credit Services reported revenue (turnover) of ₹7,191.14 crore, profit after tax (PAT) of ₹913.17 crore and had a net worth of ₹6,067.63 crore.
The increased stake underscores TVS Motor’s commitment to strengthening its financial services business, which plays a key role in supporting vehicle financing and expanding customer access to credit across its automotive ecosystem.