Tata Motors Drive Away JAGUAR and LAND ROVER

Another big acquistion for the year 2008. This time its turn of TATA's. Tata Motors deal is confirmed with Ford's JAGUAR and LAND ROVER (JLR) on Wednesday.

Here are highlights of the deal

1. Total Deal value is $2.3 bn
2. Waiting for the regulatory approvals from EU, US & other countries
3. Plans to run JLR as two separate companies.
4. Plans to operate JLR as co's subsidiries
5. Tied-up $3 bn as bridge finance for JLR deal
6. Raising the bridge finance from syndicate of banks
7. bridge finance to be replaced
8. to divest stake in group co's to finance JLR buyout
9. SBI likely to be lead financer
10.Intl banks have approached SBI to finance Tata Motors
11.Ford will provide financing for 12 months
12.Deal likely to be closed by end of next quarter
13.Deal is subject to regulatory clearances
14.Deal includes brands,manufacturing plants and IPR
15.Identities of Jaguar and Land Rover would be kept intact
16.Ford to continue to provide engineering and R&D support
17.Agreements between Ford and Tata Motors for various engine technologies
18.Top Management including CEO to continue to stay with the company

Right now, TATA Motor's stock is trading in red. As per the various analyst's view, the best time to buy this stock is when it reaches the support level which is seen at 520-570 levels with an up move for 920-950 levels