Tata Motors Ltd., the Indian company that has aquired Land Rover and Jaguar, is planning to raise as much as 47 billion rupees ($1 billion) the epansions of operations and handling of debt accumulated during the purchase of the luxury brands. According to Bloomberg data, Tata holds debt of 185.3 billion rupees in debt; the company took on loans to purchase Jaguar and Land Rover from FoMoCo.
The luxury division is targeting growth in the emerging markets of Asia with expanding showroom networks in China and India. In the past few years, Tata has raised in excess of 50 billion rupees through investing, the sale of assets, and the sale of bonds. The company shows signs of a healthy future, with a B3 rating from Moody’s Investors Service which indicates a positive outlook, and its return to a profit for the previous fiscal year, which ended in March.
-By: Stephen Calogera