Plans to raise money from commercial banks progress
1 September 2009

Tata Motors has announced it's planning to raise at least £100 million of working capital for Jaguar and Land Rover.

Ravi Kant, the Indian carmaker’s vice-president, also said that cost-cutting advice from outside consultants was bearing fruit - but added that only a revival of the market for luxury cars could turn around the business.

Tata Motors reported a net loss of £41m for the quarter to end-June, compared with a £80m profit a year ago. Of this, Jaguar and Land Rover lost £110m before tax in the quarter.

Kant said that Tata Motors was finalising the £100m of loans from commercial banks including Standard Chartered, Bank of Baroda, ING, GE Capital, and Bank of Ireland subsidiary Burdale.

However, analysts told the Financial Times newspaper that it would take much more than £100m to turnround JLR’s fortunes.

“We’ve seen the bottom of the luxury market, but the road to recovery will be slow,” said Ashvin Chotai, director of consultancy Intelligence Automotive Asia. “JLR will continue to be a drain on Tata’s financial resources for a while.”

Twitter - follow autocar.co.ukSee all the latest Jaguar reviews, news and videoSee all the latest Land Rover reviews, news and video

Join the debate

Comments
11

1 September 2009

Clearly not a bargain then...

1 September 2009

As the Jaguar is now owned by India, they should NOT expect british taxpayers to pay up to keep Jaguar going. Its obviously going down the drain. If India cannot afford to keep the marque going, they should sell up or go into liquidation. It makes sense.

1 September 2009

[quote Nikonguy]

As the Jaguar is now owned by India, they should NOT expect british taxpayers to pay up to keep Jaguar going. Its obviously going down the drain. If India cannot afford to keep the marque going, they should sell up or go into liquidation. It makes sense.

[/quote]

JLR have said they are no longer seeking any assistance from the UK Government and have their own financial arrangements in place. I for one strongly believe their trading position will improve dramatically once the new XJ starts appearing on the roads.

1 September 2009

Where in the article does it say the British taxpayer is being asked for the money?? From what i read, they've raised funding themselves already and are going along the same route to raise more. Read the article before you comment

1 September 2009

I bet Tata are having second thoughts about their decision to buy JLR!

And, by the way, I do not think that Jaguar sales will be helped by the somewhat oddly styled XJ.

1 September 2009

I believe jaguar needs to build there 1 series because i belive this will be one few car sector to grow in the next few years and i think it would be a good idea and at this time there only is 3 other cars 1 series, A3 and Golf also the new leuxs and i believe this will be perfect for jaguar call it JH (Jag Hatch) this where land rover is about to go with new land rover the LRX and i think if jag did hatch it would be great i would buy one but has to has the style of new mini but with the feeling of a golf and goes like a 1 series.

1 September 2009

Oh yes, good one Autocar. Throw another JLR article into the forum because we haven't talked about this for a while, have we? I'll go first : I think Land Rovers are excellent vehicles and permit 5 people (at least) to get around in comfort. That should do it. Light the blue touch paper and retire at walking pace.

1 September 2009

I would never consider buying a modern Jaguar, least of all a sports car which does have a manual gearbox option. I have never seen the option available for the XK8 or for any other sportscar model. Are Jaguar not capable any more, if so, put manual gearboxes in ALL models and only have autos as an option.

1 September 2009

[quote Nikonguy]As the Jaguar is now owned by India, they should NOT expect british taxpayers to pay up to keep Jaguar going. Its obviously going down the drain. If India cannot afford to keep the marque going, they should sell up or go into liquidation. It makes sense.[/quote]

As Jaguar is now owned by an Indian company, and the loan provided for by Indian banks, Jaguar should be contributing to India's economy by setting up manufacturing in India and providing jobs in India, rather than the British economy by keeping manufacturing and jobs in the UK.

1 September 2009

[quote Nikonguy]I would never consider buying a modern Jaguar, least of all a sports car which does have a manual gearbox option. I have never seen the option available for the XK8 or for any other sportscar model. Are Jaguar not capable any more, if so, put manual gearboxes in ALL models and only have autos as an option.[/quote]

This is because Jaguar don't make a sportscar. The XK is a GT, not a sports car, and the auto box suits it perfectly. Do you see Mercedes offering a manual SL or BMW a manual 6 series?

Pages

Add your comment

Log in or register to post comments

Find an Autocar car review

Driven this week

  • Skoda-Karoq 2.0 TDI 4x4
    First Drive
    16 October 2017
    Diesel version of Skoda’s junior SUV is unobtrusive and undemanding, but we’d still go for the silkier petrol version of the Karoq
  • Audi Q7 e-tron
    First Drive
    16 October 2017
    Expensive and flawed but this understated diesel-electric Audi Q7 has a lot to offer
  • Citroën C3
    First Drive
    16 October 2017
    Is the third gen Citroën C3 ‘fresh and different’ enough to take on its supermini rivals? We spend six months with one to find out
  • BMW X3
    First Drive
    15 October 2017
    A satisfying rework of the X3 that usefully improves its handling, cabin finish, space and connectivity to make this BMW a class front-runner again
  • Vauxhall Insignia Country Tourer
    First Drive
    13 October 2017
    Off-road estate is now bigger, more spacious and available with torque-vectoring all-wheel drive, but is it enough to make its German rivals anxious?