Ford Closer To Selling Jaguar, Land Rover

By Zack Newmark
November 23, 2007 8:35 PM
Filed Under: American, Corporate/Financial, Ford, Jaguar, Land Rover

Indian automaker Tata Motors is one step closer to acquiring Jaguar and Land Rover from Ford after winning the support of the unions utilized by the British brands. A non-essential but still important victory for Tata, the unions' shop stewards voted that if Ford were to sell the two manufacturers they feel Tata would be the best choice.

The unions still seem to believe that Ford keeping Jaguar and Land Rover would be the best situation for the workforce.

Union leadership also met with rival bidders, One Equity Partners - a division of J.P. Morgan Chase - and Mahindra & Mahindra Ltd., an Indian automaker. Tata apparently won over the union by saying they had no intention of moving or outsourcing workers to India, and top executives at Jaguar and Land Rover would likely keep their positions.

Ford acquired Jaguar for $2.5 billion in 1989, and Land Rover for $2.75 billion in 2000. Ford recently sold off Aston Martin for $925 million, and still needs more liquidity to satisfy its investors.

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Tata to Win Jaguar & Land Rover Battle (30 comments
Ford Looking to Dump Jaguar, Land Rover (5 comments

Comments

Hiromichi

November 24, 2007 7:59 AM

Can Tata utilize two brands and expect maximum synergy effect out of them? If Tata let the two companies go with full of freedom, then these traditonal names will survive without serious harm. However, if Tata tries to control them too much, their brand value would be diluted and British heiritage would not be kept long.

joelynn

November 24, 2007 7:54 PM

Tata should follow Proton's example with Lotus- own the company but don't interfere. Why is Ford selling the immensely successful and profit-making Land Rover... dumb!!

yulei

November 25, 2007 4:18 AM

Ford need money very much!

Protoss

November 25, 2007 4:27 AM

What make Tata can run the two brands well,but Ford can't??

sebastianmejia17

November 27, 2007 12:10 AM

Is that the end of Jaguar and Land Rover? hmm. If those cars weren't selling as good as they were before, imagine the sales under the new tata company. Can I get some curry with that? I guess Ford has been in business for over one hundred years and I don't think tata would do a better job than Ford. I doubt it very seriously!

Ferrariguy

December 3, 2007 3:15 AM

Land Rover should go back to BMW, but BMW most likely wouldn't want them!

Hiromichi

December 4, 2007 2:38 PM

Aren't there some investors in England to save these brands? What I think best is to let all British brands get together under the British flag to form consortiam like BMC or Audi(DKW,Audi, Holch and Wandeler)in the past. Aston-Martin, TVR, Morgan and Jaguar/Land Rover reunion is a good attempt for Britain to revive manufacturing industriy back again and to keep these traditional brands survive long.

isaacu

December 27, 2007 3:31 AM

How do you explain Ford's inability to get "value added" from Jaguar and Land Rover? My solution is to keep Jaguar and afford it the "design-change" it deserves Witness the new "XF". Ditto Land Rover - BMW made a mistake letting it go....

Scuderia

January 6, 2008 6:55 PM

India's not about only curry.TATA has deep pockets and will only provide the financial support. They are going to stay out of the internal stuff. Accept that and please refrain from posting such meaningless and useless comments.

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