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Ford sells Jaguar and Land Rover for $2 billion

27 March 2008

American auto concern Ford has agreed to sell brands Jaguar and Land Rover to Indian motor-car manufacturer Tata Motors, such information has been given in the press release of the American company. The sum of transaction makes 2,3 billion dollars
According to the terms of transaction, Ford Motor will also list in a pension fund of Jaguar and Land Rover employees up to 600 million dollars. According to the message of the company, some time after end of the transaction it will continue to carry out technical support of Jaguar and Land Rover. It is supposed, that the transaction will be completed by the end of next quarter.
Let’s remind that British actives of Ford have been exposed on sale in June, 2007, in connection with company’s desire to concentrate on the basic automobile business under the trade mark Ford, which is facing crisis now. Ford has got Jaguar in 1989 for 2,5 billion dollars, and Land Rover - in 2000 for 2,75 billion dollars. Nearby 16 thousand people work at factories of these companies.
As to other agents, wishing to buy the well-known brands, these are two Indian motorcar giants-competitors: Mahindra and Mahindra (in the union with investment company Apollo) and Tata Motors.
The last one has started negotiations with Ford Motor in January, 2008. Brands Jaguar and Land Rover have been estimated by Merrill Lynch analysts in 1,5 billion dollars.




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