Ford completes sale of Jaguar and Land Rover to Tata

Ford today completed the sale of its Jaguar and Land Rover operations to Tata Motors after first announcing the Indian carmaker as the next owner back in March. The sale is the culmination of Ford’s decision last August to explore strategic options for the Jaguar and Land Rover businesses, as the Blue Oval accelerates its turnaround plan and focuses on its core Ford brand.

The total amount paid in cash by Tata for Jaguar and Land Rover upon closing is approximately $2.3 billion. Ford will now contribute up to $600 million to the Jaguar and Land Rover pension plans, which leaves the Blue Oval with about $1.7 billion once the dust settles.

As part of the overall sale agreement between Ford and Tata Motors, Ford will continue to supply Jaguar and Land Rover with engines, stampings and technology, including a range of environmental technologies.

Tata has also confirmed today that interim Jaguar and Land Rover CEO David Smith will remain in the top post. Smith, who was formerly the CFO, took over the job when the late Geoff Polites stood down as CEO due to illness back in April.