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Ford Says 'Tata' to Jaguar, Land Rover

DETROIT -- Ford Motor Co. is selling its storied Jaguar and Land Rover brands 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, according to the Associated Press.

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 agreement 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.

Posted by Peter C. T. Elsworth  at 10:19 AM to Ford | Permalink

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