'Tata may lose Jaguar-Land Rover over outsourcing worries'
|
| Posted
:
Tue, 20 Nov 2007 11:59:02 GMT |
| By
:
Dipankar De Sarkar |
| Category
:
UK (Business) |
| News Alerts by
Email ( click
here ) |
|
|
|
|
|
London, Nov 20 - Indian multinational Tata and One Equity, a private equity group, emerged as the leading bidders for the British car-makers Land Rover and Jaguar as union leaders prepared to consider their bids Tuesday amid reported concerns about protecting British jobs.According to some reports, Tata has eliminated the third bidder in the race, Mahindra & Mahindra, but could well find itself pipped to the post for the iconic British cars, currently manufactured by Ford, because of outsourcing worries.The unions, being pressed for a quick decision from Ford, are believed to favour the bid from One Equity, which is led by former Ford chief executive Jacques Nasser, The Times reported.However, other reports said Mahindra & Mahindra had, in fact, made a strong return to the bid in recent weeks after forging an alliance with the US buyout company Apollo.The battle for Jaguar and Land Rover has acquired a political dimension with the government said to be worried about the fallout of the sale.The two brands have several factories in the West Midlands and Merseyside regions of Britain and there are growing unsourced media reports that say unions are concerned about 'market positioning and outsourcing' if either Tata or Mahindra & Mahindra win the bid.Ford is said to be keen to retain its contract to supply engines to the two marques and unions are reportedly concerned that if either Tata or Mahindra & Mahindra win the bid, the supply may be outsourced, costing thousands of British jobs.There are also reports that the British government's Department for Business, Enterprise and Regulatory Reforms is pressing the bidders for an assurance that jobs will be protected.Land Rover employs 8,300 workers, mainly at Solihull in the West Midlands and Gaydon, Warwickshire. Jaguar employs 7,300 people, concentrated at Castle Bromwich, near Birmingham; Whitley, in Coventry, and Halewood on Merseyside, where it shares production with Land Rover.Solihull is represented by a Liberal Democrat MP and Gaydon by the Tories, while Birmingham, Coventry and Garston are Labour areas.The bidder is set to be announced next month. (c) Indo-Asian News Service
|
|
|
|
|
|
Related News
British Airways remains in the red during holiday season - Summary
London - British Airways (BA) remained deeply in the red over the main summer holiday season when it incurred a record half- yearly pre-tax loss of 292 million pounds (485 million dollars), figures published Friday showed. The deficit followed a reco...
RBS reports third quarter loss as restructuring continues
London - Britain's ailing Royal Bank of Scotland (RBS) Friday reported third quarter losses of 1.53 billion pounds (2.54 billion dollars), figures released by the bank showed. The operating loss was below second quarter losses of 3.53 billion pounds,...
British Airways remains in the red as recession bites
London - British Airways (BA) Friday reported a record half- yearly pre-tax loss of 292 million pounds (485 million dollars), indicating that the airline remains vulnerable to the recession, BA figures showed. For the whole of last year, BA made a re...
Bank of England boosts money supply, keeps interest rates low
London - The Bank of England (BoE) Thursday left interest rates unchanged at 0.5 per cent while deciding to pump an extra 25 billion pounds (41 billion dollars) into the economy to boost liquidity on the market. The extra amount takes to 200 billion ...
London Stock Exchange quotations 4 November 2009
London - Closing prices in pence on the London Stock Exchange. In brackets movement and percentage change against the previous quotation.FT-100 Index5,107.89(+ 70.68) BAT Industries 1,917.00(+3.50) BP Amoco 581.40(+1.10) Diageo ...
British unions hail GM decision but government cautious
London - British trade unions Wednesday welcomed the decision by carmaker General Motors (GM) not to sell off its European brands - but the government said it was seeking urgent talks with GM about the future of Vauxhall plants. The decision, which...
London Stock Exchange quotations 3 November 2009
London - Closing prices in pence on the London Stock Exchange. In brackets movement and percentage change against the previous quotation. FT 100 5,037.21(- 67.29) BAT Industries 1,913.50(- 23.00) BP Amoco 580.30(-4.40) Diageo...
|
|
|
|
|
|
|
|
