Clouds on the horizon for Jaguar, Land Rover and Tata?
What appeared to be a done deal just a couple of weeks ago, the sale of Jaguar and Land Rover by Ford to Tata, is still under discussion by all parties. And to throw a possible wrench into works, Moody's Investor Services is casting some doubt as to whether this is even a good idea.
"Should (Tata Motors) proceed with the transaction and acquire these two businesses, it will face considerable execution and integration challenges," Moodys said. The rating service noted that though Tata has a strong position in the low-to-medium segments in India, the acquisition of Jaguar and Land Rover would expose the company to the luxury product segment in wider global markets, which would increase the material risk to the automaker.
So, what all this mean? Don't know yetbut stay tuned...
Here's AutoObserver's take: Jaguar, Land Rover Good Fit for Tata? Moodys Says Possibly Not
Jan 8, 2008 5:00 am
Categories: Ford | Jaguar | Land Rover | Tata Motors | Auto Industry
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