India's Tata buys Jaguar and Land Rover
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India's Tata Motors is to take over Jaguar and Land Rover from US car giant Ford.
The deal between Tata and Ford worth around £1.15 billion was signed on Tuesday and will safeguard about 16,000 jobs, sources have said.
Tata already runs the former British Steel company Corus and has been in talks with Ford for some months.
It is thought the deal will include a commitment from the Indian company to preserve the style of Land Rover and Jaguar.
Based at Solihull in the West Midlands and celebrating its 60th anniversary this year, Land Rover has proved a profitable part of Ford's empire since the US company took it over in 2000.
Land Rover's first model was the vehicle that bore the company's name and many of the early models are still in working order. Other famous models have included the Range Rover, the Freelander and the Discovery.
As a company name, Jaguar, which cannot match Land Rover's current profitability, dates from 1945 and has plants at Castle Bromwich in the Midlands and at Halewood, Merseyside. Famous models have included the E-type and the long-running XJ series.
After the deal was struck, Tony Woodley, joint general secretary of the Unite union, said: 'We would have much preferred Ford to keep the companies in the family, so to speak, especially with Land Rover being so profitable.
'But with the commitments Tata have given to the future of Jaguar (and) Land Rover and the long-term supply agreements for components, especially engines from Bridgend and Dagenham, we're obviously pleased they are in the game.'
Mr Woodley said he was unhappy that Ford had decided against taking a stake in the new future. 'That is a big disappointment,' he said.
Tata recently announced the 'people's car' - the £1,200 Nana - and motoring experts believe that while Jaguar and Land Rover are only a small part of the vast Ford empire, the two British-based companies will be a major part of Tata's business.
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