Tata Motors shares fall 2% from day’s high after JLR extends production pause

Shares of Tata Motors declined as much as 2% from day’s high on Tuesday, September 16, as the impact of a cybersecurity breach at its UK-based luxury subsidiary Jaguar Land Rover (JLR) continued to weigh on sentiment.JLR, which accounts for nearly 70% of Tata Motors’ consolidated revenue, said in an updated statement that it has extended the ongoing production halt until Wednesday, September 24.

“We have taken this decision as our forensic investigation into the cyber incident continues, and as we assess the various stages of a controlled restart of our global operations, which will take time,” the company said.

Apologising for the prolonged disruption, JLR said it will continue to provide updates as the probe progresses. The automaker also acknowledged that the investigation indicates some data has been compromised, and the matter has been reported to the relevant regulators.According to an earlier BBC report, the breach could be costing JLR up to £5 million per day, striking just as the automaker heads into one of its busiest sales periods, the start of September, which coincides with the introduction of new vehicle registration plates in the UK.

Production and sales have reportedly been disrupted, further straining the automaker already grappling with launch delays and slowing global demand.

The incident has drawn political attention as well. Questions were raised in the UK House of Commons, where the Business Minister declined to confirm or deny whether the attack was state-sponsored.

As of now, JLR’s operations remain partially suspended, and investors are watching closely for updates.