DETROIT - Ford Motor Co. is selling its storied Jaguar and Land Rover businesses to India's Tata Motors Ltd. in a deal that will net the U.S. automaker $1.7 billion — roughly a third of the price it paid for the two luxury brands
The deal announced Wednesday will expand the Indian carmaker's reach around the globe and give Jaguar and Land Rover badly needed capital to update and expand their product lines.
The sale had been in the works for months as cash-strapped Ford sought money to fund its turnaround plan.
Tata will pay $2.3 billion for the British brands, but Ford will pay about $600 million into the Jaguar-Land Rover pension fund when the deal closes, Tata's statement said. More on the story.
4 comments:
One of many, many sad parts about this story, is that both Jaguar and Land Rover, years later are worth less, and both together are less than half of what they were years ago. If this isn't a wake up that American companies are at bargan basement prices and other countries that were unable to afford small American companies can now buy up big ones at discounted prices, I just don't know what will wake people up.
Ford screwed up both companies.
When I heard this news I wondered what the people of Michigan think of this news. Remember Mitt told the Michigan voters a vote for him would bring back the car industry. Now I have also noticed not one person is looking to bring jobs to America but everything is going overseas. In a way I don't blame any country for taking advantage of the weak corrupt United States. If this happen to another country the US would be sure to take advantage.
But Jackie, this was sold at a bargin price, why didn't someone in this country take advantage of the deal? That is the scary part.
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