New Delhi, July 22 -- TVS Motor Company, India's third-largest two-wheeler maker, may carve out its financial services business, making it the second major two-wheeler manufacturer after Bajaj Auto to pursue such a restructuring.

The rapid growth of TVS Credit Services Ltd had prompted the group to evaluate a demerger of the business, chairman Sudarshan Venu said at the company's annual general meeting on Wednesday. While TVS Credit already operates as a separate subsidiary, a demerger would separate it from TVS Motor's listed vehicle business.

TVS Motor held an 85.6% stake in TVS Credit, according to the financial unit's FY26 annual report. TVS Credit is part of the TVS Venu platform, which has interests in the sectors of mobility, fin...