Tata Motors have recently signed an agreement to buy ford motorGujarat has a manufacturing plant worth Rs 725.70 crore. agreement signed between Tata Passenger Electric Mobility Limited (TPEML) and Ford India Private Limited (FIPL) covers property, land and all eligible employees.
In an official statement, Tata Motors said, “With our manufacturing capability position in place, this acquisition is timely and a win-win for all stakeholders.”
Ford India’s Powertrain Manufacturing Facility will continue to be operated by leasing out construction plant buildings and land from TPEML as per the agreement. TPEML will offer employment to eligible employees of FIPL under the agreement.
Jaguar Land Rover, a subsidiary of Tata Motors, said that Sanand The plant acquisition will open up a manufacturing facility of 3,00,000 units annually which can be expanded to 4,20,000 units.
In addition, Tata Motors Passenger Vehicles Limited (TPEML) will make necessary investments to reconfigure the plant to optimize existing and future vehicle platforms. This manufacturing plant is adjacent to the Sanand Manufacturing Facility which will help in a smooth transition.
Ford Motor had only 2% of the Indian passenger vehicle market last year when it decided to end India operations after struggling for more than two decades to turn profits.
In the coming months, FIPL and TPEML will work together to meet the conditions and obtain regulatory approval to close the transaction. The signed Unit Transfer Agreement (UTA) includes –
In an official statement, Tata Motors said, “With our manufacturing capability position in place, this acquisition is timely and a win-win for all stakeholders.”
Ford India’s Powertrain Manufacturing Facility will continue to be operated by leasing out construction plant buildings and land from TPEML as per the agreement. TPEML will offer employment to eligible employees of FIPL under the agreement.
Jaguar Land Rover, a subsidiary of Tata Motors, said that Sanand The plant acquisition will open up a manufacturing facility of 3,00,000 units annually which can be expanded to 4,20,000 units.
In addition, Tata Motors Passenger Vehicles Limited (TPEML) will make necessary investments to reconfigure the plant to optimize existing and future vehicle platforms. This manufacturing plant is adjacent to the Sanand Manufacturing Facility which will help in a smooth transition.
Ford Motor had only 2% of the Indian passenger vehicle market last year when it decided to end India operations after struggling for more than two decades to turn profits.
In the coming months, FIPL and TPEML will work together to meet the conditions and obtain regulatory approval to close the transaction. The signed Unit Transfer Agreement (UTA) includes –
- entire land and building
- Vehicle manufacturing plant with machinery and equipment located therein
- Transfer of all eligible employees of vehicle manufacturing operations of FIPL at Sanand, excluding taxes, for consideration of Rs 725.70 crore.