Tata Motors, a part of Indian conglomerate Tata Group, closed a deal to purchase Jaguar and Land Rover from Ford Motor Company on this day in 2008 for $2.3 billion. This was about half of what Ford purchased them for several years earlier. Under the terms of the deal, Ford was to return Tata up to $600 million once the sale closed to make up for shortfalls in the two brands’ pension plans.
At the time of the purchase, Tata Group was focused on overseas acquisitions of everything from coffee companies to manufacturing businesses. Tata had no intention of making any major changes to either Land Rover or Jaguar, nor would it affect the jobs of the 16,000 people employed by the automakers. Ford offloaded the brands during a major company overhaul following a two year loss of $15 billion.