BERLIN (Reuters). Daimler AG (DE) will be officially renamed Mercedes-Benz Group AG Tuesday, nearly one year after it was spun-off from its bus and truck units. The move is expected to unlock shareholder value for this premium carmaker.

It is the latest structural change in the long line of restructurings at Daimler-Benz AG, which began in 1926 as Daimler-Benz AG. Daimler AG officially adopted Mercedes, the brand named for the daughter of an automotive entrepreneur in 1902.

CEO Ola Kaellenius stated that there is a chance for multiple growth. He did not name a target value, but he said it was worth less than 77 billion euro ($85.70 million).

Daimler Truck AG shares, which were spun off of the newly appointed Mercedes-Benz, rose slightly from Friday’s market debut, trading at 32.23 euro. Mercedes-Benz shares reached their peak in November 2021 at 74.25, although they have been trending lower to trade at 71.5 euros.

Analysts said that a premium carmaker fighting for the luxury market could not grow beyond its current size.

According to Tom Narayan, a European analyst with RBC Capital Markets, “Investors might start looking at Mercedes as a Lucid Motors (NASDAQ:), type) and give it an electric vehicle (electric vehicle multiple) multiple,” he said.

Lucid, Tesla and others can go 100% electric. Mercedes will need to convert their existing ICE business (NYSE:) (internal burning engine) to EVs. This may limit the range of potential future applications for multiples.

Stifel management director Daniel Schwarz said that the valuations reflect the perception that German brands are defensive and have to preserve their market share.

“Tesla is valued based upon the assumption that Tesla can win market share over German companies, which don’t have comparable revenue growth potential.”