Automobile major Tata Motors on Saturday said that JT Special Vehicles (JTSV) will become a wholly-owned subsidiary of the company.
The company was formed in 2017 as a 50:50 joint venture between Tata Motors and Jayem Automotives to develop high-performance versions of TML passenger cars under the "JTP" brand.
Accordingly, the auto giant signed an agreement to purchase the 50 per cent shareholding of Jayem Automotives in JTSV.
Subsequent to the formation of JTSV, Tata Motors launched Tiago JTP and Tigor JTP in 2018.
"However, the passenger car industry witnessed a challenging FY19-20, exacerbated by mandatory change in regulations and the current COVID-19 pandemic, which has impacted the demand in this niche category of vehicles," the company said in a statement.
"In light of this ongoing scenario, both Tata Motors and Jayem Automotives found it prudent to discontinue this venture. Tata Motors will continue to provide all requisite support and service to customers and users of Tiago JTP and Tigor JTP cars at its select dealerships, ensuring hassle free ownership."
( With inputs from IANS )