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Automobile major Tata Motors on Thursday launched a new 'XTA' variant of hatchback -- Tiago -- at a starting price of Rs 5.99 lakh (ex-showroom Delhi).

With the launch, the company has strengthened its automatic line up with '4 AMT' options, adding an 'AMT variant to the XT trim' of the existing Tiago.

"The automatic transmission (AT) segment in India is booming and the same has been proven in the sales of Tiago as well," said Vivek Srivatsa, Head Marketing, Passenger Vehicle Business Unit (PVBU), Tata Motors.

"Acknowledging the increasing preference for ATs, we are excited to introduce the XTA version to the range and are confident that this new variant will not only give us a competitive edge in the mid-hatch segment, but will also provide customers with accessible options to choose from at every price point," Srivatsa said.