Today is a historic moment for Tata Motors, which has been negotiating the deal since January to buy Jaguar and Land Rover. Tata Motors buying out Jaguar and Land Rover for $2.3 billion has been hailed by domestic industry, including Tata’s competitors.
Indian TATA motors secured Jaguar and Land Rover by buying British luxury icons from Ford Motor Company for $2.3 billion, less than half what it paid in 1989 and 2000 respectively.
Ford acquired Jaguar in 1989 for $2.5 billion and Land Rover in 2000 for $2.73 billion as part of a European-luxury strategy it began by buying Aston Martin in 1987. It sold Aston last year, according to bloomberg.
Indian rating agency ICRA assigned highest credit quality rating (A1+) to Tata Motors Finance Ltd’s Rs 2,000 crore short term debt.
Earlier in this January ICRA had placed the company’s long-term and short-term ratings on negative watch.
Since Tata emerged as the preferred Jaguar and Land Rover acquisitions bidder, business and financial risk profile of the company is at high stake.
Boeing’s 787 Dreamliner aircraft may face its 3 rd serious delay when it issues an update on the project at the end of this month, reports Financial Times.
Boeing said it is assessing the progress of the 787, its first all-new commercial jet since the 777 entered service in 1995. “We are working towards a schedule that we had outlined in January,” said Boeing. Boeing plans to update its delivery schedule after its first quarter earnings in April.
Tata Motors is seeking loans of about $3bn to fund its planned purchase of Ford Motor Co’s luxury UK brands Jaguar and Land Rover. Tata has assigned Citigroup and JPMorgan, its financial advisers on the acquisition.
(Jaguar XK Convertible in Liquid Silver – Photo Credit: jaguar)
Following its debut in New Delhi in this January, Ratan Tata – chairman of the India’s largest conglomerate Tata Group, unveiled two versions of the world’s cheapest production car – the Tata Nano at the 78th Geneva Motor Show along with three other vehicles, the new generation Indica, the new Safari DICOR 2.2 VTT and the Xenon.