Tata Motors' share price rose for the third day in a row on Thursday after a Mint report said that Jaguar Land Rover (JLR) has restored three-fourth of its budgeted production in China.

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The share price rallied 20 percent to touch Rs 93.50 per share on Thursday. At 3:15 pm, the shares traded 19.39 percent higher at Rs 93.30 on the NSE. In the last 3 trading sessions, the stock has climbed 23 percent.

The company spokesperson told Mint that with lockdown measures easing in China, all of its retailers are now open and sales are recovering. JLR has restored its production capacity to 75 percent of pre-COVID levels, added LiveMint.

Further, the company has also announced issuance of non-convertible debentures (NCDs) worth Rs 1,000 crore, .

The company in an exchange filing said that a board of meeting will be held on May 5 to discuss the issuance of NCDs in three tranches. The auto giant is the latest one in line to join its peers (M&M, Apollo Tyres and Motherson Sumi), to raise liquidity through the debt route.

The nation-wide lockdown has affected the top-line figure of all the automakers due to slipping demand.

A recent Nirmal Bang report discussed the commentaries of SIAM (Society of Indian Automobile Manufacturers) on the automobile industry.

"According to SIAM estimates, if India’s GDP growth for FY21 falls below 1 percent, PV / 2W / CV / 3W sales will likely decline by 20-24 percent / 27-30 percent / 32-35 percent / 28 percent, respectively, with overall auto industry likely to decline by over 20 percent in FY21," the report said.

It expects impact on supplier and dealers to be even worse than OEMs.

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First Published:Apr 30, 2020 12:08 PM IST