Tatas may snap up Ford's Jaguar, Land rover by end-2007

20 December, 2007


By the end of December 2007, Tata may acquire Ford’s Land Rover and Jaguar brands. According to an auto industry report, the Tatas might be named the preferred bidder for the Ford brands.

The race is still on for pocketing the two auto brands with another Indian company – Mahindra and Mahindra - also in the fray. In case Ford says yes to Tatas’ bid, it will be a historic moment for the car industry as it will be for the first time that a western car company is being bought out by an Indian firm. According to a British newspaper report, the US carmaker is expecting to make up to £1 billion from the sale, although it is expected to keep some form of equity interest in the devolved business.

In a development that would prove to be beneficial to the Tatas, trade unions too are understood to have supported the bid by the Tatas. It is widely believed that the Tatas would offer more long-term security than the other bidder, US’s own One Equity.

The Jaguar and Land Rover together have 15,000 employees in the UK. It is rumoured that Tata plans to retain all three of the UK factories. Meanwhile, some of the union leaders have expressed concern about market positioning, fearing that the luxury marques will not sit well in the group. They are also concerned about the company’s potential to source components or manufacturing from overseas, costing British jobs.

The Tatas had expanded into Britain and is continuing its success in the nation ever since it took over the Tetley tea brand. The Indian major is currently the world’s fifth-largest steelmaker after buying Corus.

However, in its home terrain, the company, of late, slipped into controversial territory following violence in West Bengal after negotiations over land for its small car plant took a beating. The group, made up of 98 operating companies in business sectors including steel, salt, software, tea, energy, cars and trucks, hotels and chemicals, however is undeterred, and is in the process of rolling out its Rs 1-lakh small car soon.


Do type in your comments below!





Auto news for auto freaks! iDrive.in
DWS community! / Cricket blog


Latest Stories in International Auto


BMW Z4 Edition Exclusive and Z4 Edition Sport launched

Isuzu to quit US car market

Twingo Renaultsport launched

Chrysler global midsize car development team set up

Hyundai Genesis sports saloon to be launched in US, Korea in 2008

Chinese cars to be launched in the US by 2008 end

Mazda Furai concept to be unveiled at Detroit Motor Show

Tatas may snap up Ford's Jaguar, Land rover by end-2007

Land Rover LRX concept to debut at the Detroit Auto Show

Ford Focus RS to be launched in 2009

Bombardier bags order for Green Trains

Iran, Malaysia, Turkey to roll out Islamic car

China’s first hybrid-power sedan Jiexun-HEV launched


Archived Intl Auto stories






Latest updates    Contact Us - Feedback    About Us