Tata Motors declines 4% on S&P rating downgrade

Shares of Tata Motors plummeted by nearly 4 per cent Wednesday after S&P Global Ratings downgraded the credit rating of the auto giant and its British arm Jaguar Land Rover Automotive Plc.

The stock dropped 3.7 per cent to settle at Rs 169.2 on the BSE. During the trading session, the scrip touched a low of Rs 168.7, a decline of 3.98 per cent.

On the NSE, the stock closed at Rs 170.05, down 3.24 per cent from the previous close. It had touched a low of Rs 168.60 and a high of Rs 173 during the trading session.

In a regulatory filing to the stock exchanges Tuesday, Tata Motors said S&P Global Ratings has downgraded the credit rating of the company and Jaguar Land Rover Automotive Plc citing weak profitability at its British arm JLR.

Last month, Moody's Investors Service had changed Tata Motors' rating outlook to negative from stable, citing expectations of weak operating performance of JLR.