In 2005 it acquired 21% stake in Hispano Carrocera (SA), Aragonese bus
In 2004, it acquired the Daewoo Commercial Vehicle Company of South Korea
Tata Engineering becomes Tata Motors Limited in 2003
In 1993, it signed with Cummins Engine Co., Inc., for the manufacture of high horsepower and
emission friendly diesel engines, to reduce the pollution in the existing Tata engines.
It came out with its first LCV, Tata 407, in 1986
The company manufactured its first commercial vehicle in 1954 in collaboration with
Daimler-Benz AG, which ended in 1969
Tata Motors Limited, formerly known as TELCO (TATA Engineering and Locomotive
Company) was established in 1945 as a locomotive manufacturing unit
1922 - Founded in Blackpool as Swallow Sidecar
1960 - Jaguar name first appeared in 1935.
1975 - Nationalized in due to financial difficulties.
1984 - Floated off as a separate co in the stock market.
1990 - Taken over by Ford.
Ford¶s formula one entry since 1990s.
Jaguar - the sleek car which dates back to 1935.
It has been less profitable for Ford since it was bought
in 1989. Its vehicles are made at three plants across
central and northwest England, while famous models
have included the E-type and the long-running XJ
1948: Land Rover is designed by the Rover
1976: One millionth Land Rover leaves the
1994: Rover Group is taken over by BMW
2000: Sold to Ford for £1.8 billion
Known for superior off-road performance
Used by military for projects and expeditions
Safe but less reliable
Makeover in recent times
I dica V2
I dica V2 Turbo
I dica V2 X ta
I dica V2 Dicor
I di o XL
I di o
I di o Mari a
I di o S
V icl s
Sumo Gra d
M dium a d
H av ± Tata
I t rm diat
Li t ± TL 4x4
Starbus a d
Ot r Bus s
D f s
V icl s
Tata M t rs Li ite is I ia's lar est a t ile c a , with
reve es f Rs. 943, 4 illi s a r fits ,7 illi s i 9- .
It is the lea er far i c ercial vehicles i each se e t, a the
sec lar est i the asse er vehicles ar et.
The c a is the w rl 's fifth lar est e i a heav
c ercial vehicle a fact rer, a the w rl 's sec lar est e i
a heav s a fact rer.
sales 943,124 716,799 359,276 325,144 240,130
income 35,226 -21,293 30,863 30,880 23,490
Net income 25,711 -25,053 21,677 21,700 17,281
equity 82,065 59,406 86,975 77,217 61,315
debt 351,924 349,739 115,849 73,019 33,791
capitalisation n/a 103,694 322,469 280,446 357,018
(number) 24,310 23,638 23,000 22,349 29,606
Source: Company reports, Financial Times
Founded enr Ford in 6
June, 9 3 in Michi an,
U and current EO: lan Mulall .
Location: Dear orn, Michi an
ompetitors: General Motors, Toyota
Brand names: Lincoln, Mercury, Volvo, Mazda, Ja uar
and Land Rover
World¶s Third Lar est automa er ased on world-wide
vehicle sales in 9.
In 9, Ford ecame the third-ranked automaker in U
sales after General Motors and Toyota, falling from the
second-ranked automaker slot for the first time in the
previous 8 years.
Cro ov r
june 2007- Announcement from Ford that it plans to sell
Land Rover and Jaguar.
August 2007 - Major bidders are identified.
Likely buyers: Tata Motors, M&M, Ceribrus capital
Management, T G Capital, Apollo Management
India͛s Tata Motors and M&M arrive as top bidders. ($ 2.05b
& $ 1.9b)
January 2008 ʹ Ford announces Tata͛s as the preferred
march 2008 - Ford agreed to sell their Jaguar Land
Rover operations to Tata Motors.
June 2008 ʹ The acquisition was complete.
Tata Motors purchased Jaguar & Land
Rover for $2.3bn in 26 June 2008
TAMO has acquired 100% stake in Jaguar and Land Rover
business and initially they will be operated independently of
3 plants in UK with full investment.
2 advanced design and engineering centers consist of
4-5000 engineers engaged in testing, prototype building,
design and powertrain engineering, development and
26 national sales companies including both existing national
sales companies of Jaguar/Land Rover and also those that
are to be carved out of the current Ford operations.
Intellectual property rights cover all key technologies to be
transferred to JLR and perpetual royalty free licenses on
technologies shared with Ford.
Ford Motor credit continued to support the sales of Jaguar
and Land Rover for around another 12 months.
Ford will contributed $ 600mn to the pension fund and the
next actuarial valuation took place only in April 2009.
Ford purchased Jaguar in 989 in a idding with General Motors
paying . illion dollars and Land Rover was sold y BMW to
Ford Motor ompany for .7 illion dollars in .
Jaguar sales in the U. . were down y .7 in May 7 from
the same period a year ago. Land Rover sales were down
y1.8 despite having an entirely new model, the LR , on sale.
Jaguar sales dropped 33 in the U and Europe in the first two
months of 8 and Land Rover sales fell 13 in the U and
around 7.7 in Europe during the same period.
Ford has lost 15.3 illion dollars over the past two years and
responded y shuttering plants and slashing its workforce in
North merica y more than 4 , workers.
Ford is getting less than half what it paid for the two rands
Long term strategic commitment to automotive sector.
Opportunity to participate in two fast growing auto
Increased business diversity across markets and products.
Land rover provides a natural fit for TML¶s SUV segment.
Jaguar offers a range of ³performance/luxury´ vehicles to
broaden the brand portfolio.
Benefits from component sourcing, design services and low
Tata Motors raised $3 billion (about Rs 12,000
crore) through bridge loans for 15 months from a
clutch of banks, including J Morgan, Citigroup, and
State Bank of India.
Company charted out plans to raised Rs 7,200
crore, via Rights Issue. The proceeds of which were
be used to part-finance the JLR deal of Rs 9,228.75
The rights issue raised the equity capital of Tata
Motors by 30-35 per cent by March 2009. The
company also planned to raise $500-600 million
through an issue of securities in the foreign markets
Full voting Riglt
A-Class Equity Shares
ͳ vote foi eveiy ͳͲ
5 Year 0.5%
into A equity slaies
aftei ͵yeais but befoie
ͷyeais fiom tle uate of
management capa ility.
trong monetary ase to
Jaguar¶s declining sales
Inexperience of handling
such luxury rands.
upport from Ford in terms of
Technology, Engine, IT,
dding up of luxury rands in
the product line.
ccess to European Market.
Market is volatile and driven
y new products.
trong presence of competitors
like Mercedes, BMW, Lexus
Drop in share prices.
Failure of rights issue.
Huge debt burden.
Sales volume decreased by 35.2%.
Lack of consumer loans.
Jaguar/Land Rover lost 306 million pounds ($504
million) for the fiscal year ending March 2009.
Tata Motors reported a net loss of Rs3.29bn
($67 million) for the quarter to end-June 2009.
Extremely high manufacturing costs in Britain.
Eliminated more than 2,200 jobs.
Tata gets access to Ford's Hybrid and low-emission powertrain
Tata wanted to make a global impact and it thinks that buying these brands
at a lower rate now, will give better value later on.
This acquisition also facilitate the entry of Tata in European market and
reduces the dependency on the Indian market which accounted for 90% of
Increase sales in emerging markets & Reduce dependence on mature
markets & Opportunity to spread its business across different customer
ublicity on an international scale & New segments for vehicles with a
large distribution network.
JLR had many new models lined up for next 3 years, so no much work, just
Strong R & D culture and facilities & Component sourcing, engineering and
Since January 3, when Ford announced Tata Motors as the ³preferred
bidder´, the Tata Motors stock has moved down from Rs 794.25 to Rs 679.4,
when the deal was announced. In the two days since then, it has lost a further
4.92 per cent to Rs 645.95.
Tata Motors reported a consolidated net profit of 19.89 billion rupees
($429.59 million) for the quarter to June 30, swinging back from a year-ago
net loss of 3.29 billion rupees. Revenues rose to 270.56 billion rupees from
164.73 billion rupees.
A Reuters poll estimated net profit at 9.8 billion rupees on net sales of 265.2
During the quarter ended June, Tata Motors sold 181,708 vehicles, up 48
percent rise from a year earlier.
The JLR unit sold 57,153 vehicles in the June quarter, up from 35,947 a
year earlier .
The Indian utomobile Market is expected to grow at a GR of 9.5 percent
amounting to Rs. 13, 8 million by 11.
The liberalization policies followed by the Indian government had been inviting
foreign investors and manufacturers to participate in the car market in India.
It is expected that by 3 , the Indian car market will be the 3rd largest car market
across the globe.
hairman Ratan Tata recently said in the company's annual report that it would add
more Jaguar models, including an entry-level car, a station wagon and a roadster.
The company has begun a search to replace Ratan Tata, who is due to retire by the
end of 12.
The company said it was in talks with potential joint venture partners to start
assembly-line operations for the JLR brands in hina. The company also plans to
start assembling Land Rover vehicles in India next year.