Ford sells Jaguar and Land Rover to Tata Motors for $2 billion

carlover99 submitted on 03/26/2008 Official Bell & Ross Timestamp: 8:49 AM
from: 4wheelsblog.com

[37] user comments | category: Misc News

Tags: ford, jaguar, land rover, tata motors

Tag Links:

ford

jaguar

land rover

tata motors

Ford sells Jaguar and Land Rover to Tata Motors for $2 billion

Ford Motor Company announced today that it has entered into a definitive agreement to sell its Jaguar Land Rover operations to Tata Motors. The transaction is the culmination of Ford’s decision last August to explore strategic options for the Jaguar Land Rover business, as the company accelerates its focus on its core Ford brand and “One Ford” global transformation.

The sale is expected to close by the end of the next quarter and is subject to customary closing conditions, including receipt of applicable regulatory approvals. Read Article

Comments:

Images hosted in your AgentSpace can now be posted in the comments section using the following syntax (case matters):
[img]IMAGE URL[/img]
Example: [img]http://agent004.myautospies.com/users/150/Sample-Gallery/sample1.JPG[/img]

silver1 - 3/26/2008 9:01:49 AM

+3 Boost

Smart move on Land Rover. Not sure about Jaguar. That new XF is HOT!

reply to this comment

SHOWTIME - 3/26/2008 9:54:38 AM

+2 Boost

Yes the new XF exterior is hot, but I think the interior is not as sporty to match with the rest of the car. Also, I don't understand why they didn't give a few clues to differentiate the 300hp vs the 420hp one.

macker83 - 3/26/2008 3:15:49 PM

0 Boost

should be the other way round jag = a good deal
rover= ?

rumnyc - 3/27/2008 4:02:10 AM

0 Boost

actually the other way round...land rover is profitable, jaguar is far from being profitable...

tata didn't buy either of the companies thinking they make 'nice' cars like XF...

Brembo - 3/26/2008 9:27:27 AM

+2 Boost

Sounds like a good deal. As long as Tata motor just deal with the money part and let Jaguar and Land Rover do what they do best then we're going to see some great products from the companies.

reply to this comment

Whelan - 3/26/2008 9:33:01 AM

+4 Boost

Rover I can see, although their new models like the Range, LR3, and new LR2 (very nice looking SUV) are starting to sell well.

As for Jag, stupid. The new XF is sure to be a winner alongside the XK, both fantastic looking cars.

Maybe now they will work on taking that money and importing some Euro models like the Focus.

reply to this comment

Audiphile - 3/26/2008 10:29:11 AM

+1 Boost

You're right, Whelan. The brand-new European Focus is much superior to the reskinned old Focus we have in the U.S.

Come to think of it, Ford of Europe has many vehicles that are superior to their American counterparts. For example, while the American Ford Fusion is a pretty good car, the Mondeo is much superior.

Come to think of it, Ford-owned Mazda and Volvo would be another good source of new products and technologies for Ford's American operations.

Whelan - 3/26/2008 12:23:38 PM

+1 Boost

Well Audiphile,

You could pickup most of Ford's Euro models from Volvo-Mazda. The Mazda 3 and Volvo C30 both use the frame and setup from the Euro Focus. The Mazda 5 is the Ford SMAX in Europe. The Fusion is based off the Mondeo frame but the Mondeo looks soooo much better. Bringing over the Fiesta would not have been a bad idea either to compete with the Fit, Versa, Yaris, etc. Not to mention it would have swamped the Chevy Aveo for an American alternative.

M35MT - 3/26/2008 12:41:42 PMView My AgentSpace

+1 Boost

The euro-focus is quite similar to the Mazda3, and Ford only has 30% stake.

Targa - 3/26/2008 10:02:27 AM

-1 Boost

So much for Jag's come back........

Bad move to sell them.

reply to this comment

tundrahq - 3/29/2008 7:39:47 PMView My AgentSpace

+1 Boost

Maybe it will result in Jags and Land Rovers that are worse, maybe not. It's too soon to tell how Tata will do...but I understand your perspective.

However, it was super smart of Ford to dump these brands. They weren't helping much, and they were taking focus away from the task at hand - saving the company.

Designer1 - 3/26/2008 10:45:00 AM

0 Boost

Anything Ford touches turns into garbage, now Tata is touching it, damn it will turn into slum.

reply to this comment

91z4me - 3/26/2008 11:30:40 AM

+1 Boost

Obviously you know how much better Jag has done since Ford bought it.

To those who didn't realize Land Rover has been making money recently while Jag hasn't turned a profit for Ford recently (if at all).

Also Ford has been utilizing both Volvo (Taurus and Taurus-X as well as the upcoming Flex) and Mazda (Fusion and Edge) based structures recently.

KZ258 - 3/26/2008 11:56:07 AM

+1 Boost

i hope it was worth it..... :(

reply to this comment

EL34 - 3/26/2008 12:12:50 PM

+2 Boost

Brings new meaning to the phrase "Hey, check out those Tatas!"

reply to this comment

Dutchman - 3/26/2008 12:15:06 PM

+2 Boost

So the Queen of England will now be driven around in a car owned by a company based in a colony the British once settled! Sweet.....

reply to this comment

Agent63 - 3/26/2008 1:24:17 PMView My AgentSpace

+1 Boost

I believe this is a good move for Ford, Jaguar & Land Rover.

WHY?

Jaguar and Land Rover deserve a better parent company. With proper funding Jaguar will be able to work with better designers and engineers to give us better quality cars.

I haven't given up hope on Jaguar yet. I saw the XF on the road the other day. MY GOD IT HAD ROAD PRESENCE. It stood out more than my S.. Ok fine it only stood out because it was something new.

Good job Jaguar!

reply to this comment

993Turbo - 3/26/2008 1:48:06 PM

+1 Boost

Worst move since A&P sold off Eight O'Clock Coffee!

reply to this comment

Jagexpert2 - 3/26/2008 9:18:54 PMView My AgentSpace

+1 Boost

Funny! Great trip down memory lane

TheBoss - 3/26/2008 1:51:22 PM

+1 Boost

The 2 billion will be gone by next week.

reply to this comment

TauronB2G - 3/26/2008 2:16:40 PM

+1 Boost

Bad move. Especially for Jaguar which is finally lookin up.
T

reply to this comment

audirevolution - 3/26/2008 5:17:48 PM

0 Boost

And how people love the prestige of Lexus by owning a Yaris.

reply to this comment

audirevolution - 3/26/2008 5:18:06 PM

-2 Boost

Wait a second, Lexus has no prestige. My bad. :]

reply to this comment

Carboy - 3/26/2008 3:14:16 PMView My AgentSpace

+1 Boost

Why Why Why????

reply to this comment

Carboy - 3/26/2008 5:34:23 PMView My AgentSpace

0 Boost

Land Rover does not suck, I actully think they are quite well built and are excellent off roaders. Jaguar to me seems to be an underdog, but look inside and you can see the sympathy built in the car. In the XF, you should see the cool looking shift by wire. It looks great.

reply to this comment

mini22 - 3/26/2008 6:14:15 PM

+2 Boost

Ford did many good things for Jaguar.When Ford aquired it originally from Rover it's reliability was in a shambles and it certainly was unable to survive on it's own. Ford improved reliability to the point that Jaguar has had consistently good reliability ratings for a number of yrs now.The problem is that Ford did not help in terms of good up to date products.Who ever decided on keeping the retro Jaguar look made a fatal mistake. Another poor mistake was the X-type being built on a Ford Mondeo chassis. The car itself was not all that bad but it had no rear leg room. It turned out to be a stupid car for the American market. The other point is that Fords marketing of it's luxury lines then became very overcrowed and confused.I mean what was the point of Lincoln when you had Jaguar,Volvo,Landrover,and previously Aston Martin.It was right to get rid of both Jag and Land Rover so Ford could get back it's identity again.However Ford needs to rethink some of it's core product lines and institute or build products in the US made in Europe.
1) Ford Focus-The poor excuse for the US version needs to be shit canned asap.
2)Fusion/Milan-Build the Euro Ford Mondeo here and call it a Fusion. The US Mazda 6 version isn't bad butit could be better.
3)Ford Taurus-If you won't do it with the Fusion/Milan at least us the European Mondeo then as the basis for the Taurus.The current one is not terrible except in it's alwful styling and cheap looking dash.
4)Mustang and remaining RWD cars-There is news of using the next Aussie Falcon RWD chassis(as in IRS). Clearly a must for the next Mustang and RWD sedan. The solid rear axle excuse(drag racers prefer it)is total BS for the general public. It was a cop out through and through and Ford knows it.
For the rest of the Volvo based cars i would not change too much. Talking about Volvo how about making the C30 a real drivers car. Why should a buyer have to go to Evolve or Heicko to get a handling package.

reply to this comment

huu76 - 3/26/2008 7:03:39 PM

+1 Boost

The $2 billion probably won't even last Ford a year.

Tata gets a trophy to show off India's new money, and what better trophy than prestigious marquees of your former colonizer. I bet Elizabeth Hurley will be selling these.

I think Ford is better off (barely), they'll still supply parts for LR/Jaguar (kiss the X-Type goodbye though) but won't have the headaches of factories etc. I think LR/Jaguar will suffer a bit simply because they're Indian owneed.

reply to this comment

jt716 - 3/26/2008 9:40:08 PMView My AgentSpace

+1 Boost

Wow I didn't know that 99% of the people on this site are racists! Just because their Indian owned they are horrible?? You said that about the Japanese, Koreans, and now the Indians. Well just like the Japanese and the Koreans surpassed the USA technologically India will do it also. I mean Tata just has to keep paying the designers etc that work in LR and Jag not much of a difference, and also their product schedule seems very interesting while I can't wait for the new XJ. Honestly all of you should stop thinking that the US is superior to other countries because you arent! Japan, Singapore, South Korea etc are the real countries that are on top. So stop being so full of yourselves and save ur economy its falling into a recession, no wait it IS in a recession!

reply to this comment

huu76 - 3/26/2008 10:20:19 PM

0 Boost

Jagexpert,
Why didn't they buy Chrysler then? That would have been more inline with their current product line.

I'd respond further but I got a clan rally to go to.

reply to this comment

huu76 - 3/26/2008 10:26:35 PM

0 Boost

jt,
What a crock. And here we have the Germas who think any car that isn't German is inferior because it doesn't have that German...whatever reason they come up with at the time.

I'm a nationalist, not racist. I don't have a problem with equal opportunity discrimination. Stupidity comes in many colours.

If you're so "liberal", go buy one of them Indian deathtraps then.

Anyway, all these new money economies have no idea how dependent they are on the US, and in some regards, Europe.

reply to this comment

JUGNU - 3/27/2008 7:26:25 AMView My AgentSpace

0 Boost

Just when Jaguar was looking good this happened.

and huu is right. Jaguar owned by indians will definitely change a lot of things. People will not have that trust and confidence. People will now have that feeling that hesitation to buy luxury cars from Indian company especially TATA whoose reputation is of making cheap, unsafe, unreliable, old technology...etc cars. They provide real basic transportation without any sense of luxury to the low to middle class indians.

These high end marques and high end people who buy these marques are very hard to satisfy. I fear Tata don't have much experience in this particular segment.

This Tata-Land Rover/Jaguar deosn't look balance in the way like BMW-Rolls/Mini, Porsche-VW-Audi, Peugeot-Citroen, Nissan-Renault...etc.

all in all i wish Jaguar and one my favorite brand Land Rover good luck. but i'll surely check a lot of things from now on before buying new Land Rovers and Jaguars.

JUGNU

reply to this comment

Crash - 3/27/2008 9:03:50 PM

+1 Boost

I heard that Tata is thinking of selling Jaguar on after the sale goes through.

If you ask me, they never wanted Jag in the first place, it's LAnd Rover that they are after, and in my opinion, not for the LR2, LR3, or the famous Range Rover. I think that they are after the Defender range. Now i know that might surprise one or two Americans who think that LR only sold a handful or two in the States then stopped bringing them in, but they sell in large numbers around the world, especially for military use.
The trouble is that the Defender is predominately hand made as it is a bolt together vehicle. Therefore, it is rather expensive to produce in the UK. Under Tata control that might be a different story, as they have plenty of cheap labor in their home country.

I could see the Defender range becoming quite profitable for tata if they took production out of the Uk.

reply to this comment

To post a comment for this story, you must first Login.

If you do not have an account, you will need to Register (It's Free!).