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Tata to bag Land Rover, Jaguar

2008-03-07 13:23
London - India's Tata Motors is expected to sign a memorandum of understanding to buy Ford's luxury UK brands Jaguar and Land Rover in the next two weeks, a labour union negotiator said on Friday.

There are no roadblocks holding back the deal, but negotiations have proved complex, added Dave Osborne, national secretary for vehicle building at the Unite union.

Unite is the main union representing workers at Land Rover and Jaguar, and has about 12 000 members there.

A separate source close to the deal also said it could be concluded "within weeks".

Negotiations are now focusing on the future relationship between Ford and the two luxury brands, which will continue to take Ford engines and body parts and will share technology and intellectual property rights, the source added.

Tata, India's top vehicle maker, has been in talks with Ford since it was chosen as the front-runner to buy the units a few days into 2008.

"We expect a memorandum of understanding between Ford and Tata to be signed within the next couple of weeks," Osborne told Reuters. "At the end of the day, this is between Ford and Tata, but that's the information we're picking up."

A Ford spokesman said there were no roadblocks and it was still on track to conclude the deal in early 2008.


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