Sold to Indian vehicle manufacturer Tata Motors
The sale, announced last week, is the culmination of Ford’s decision last August to “explore strategic options” for the iconic British brands. Ford says it plans to focus on its core Ford brand and “One Ford” global transformation. The sale is expected to close by the end of the next quarter and is subject to conditions, including receipt of applicable regulatory approvals. The total amount to be paid in cash by Tata Motors for Jaguar Land Rover will be about $US 2.3 billion. Ford boss Alan Mulally says he’s confident the brands “are leaving our fold with the products, plan and team to continue to thrive under Tata’s stewardship.” As part of the transaction, Ford will continue to supply Jaguar/Land Rover for differing periods with powertrains, stampings and other vehicle components, in addition to a variety of technologies, such as environmental and vehicle platform technologies.
Ford has also committed to provide engineering support, including research and development. Tata boss, Ratan N. Tata, said his company has “enormous respect for the two brands and will endeavor to preserve and build on their heritage and competitiveness, keeping their identities intact. “We aim to support their growth, while holding true to our principles of allowing the management and employees to bring their experience and expertise to bear on the growth of the business.”
Wallis Dumper, managing director of NZ Jaguar/Land Rover importers Motorcorp Distributors, says it was “no secret” that Tata and Ford have been “in negotiation over the sale of our British brands, and finally the good news has been announced. “We guessed a sale was inevitable at some stage in the future when Motorcorp Distributors Limited acquired the Land Rover and Jaguar distribution for New Zealand in 2005, and while on one hand it will be sad to say goodbye to our Ford friends, our brands will have a bright future with Tata Motors.”