Some could say that it feels like an eternity since the Tata Motor Group and Ford Motor Co. have been linked concerning the sale of Jaguar and Land Rover. But it appears that eternity is about to end.Tata has become a major player on the world stage. It introduced the first $2,500 car to the market in India. Moreover, Tata’s profits have jumped 26 percent in the last reported fiscal year and exports were up close to 10 percent in the last quarter of 2007.
Now it’s adding two major brands to its already formidable portfolio. There is a report out of New Delhi, India, reports the New York Times, that the two auto makers will announce the completion of a deal today. It is said that Tata will pay about $2 billion for control of the two luxury marquees.
As anyone who’s been following the blog, the acquisition hasn’t been without bumps. British unions involved with the manufacturing of Jaguar and Land Rover were concerned if Tata would move production out of the country. But they have received a pledge from Tata that there would not be any major cuts in the workforce. Jaguar’s headquarters will continue to be in Coventry, England. Finally, Tata says that it will follow the existing business plan set up by Ford for Jaguar and Land Rover through 2011.