Feb 19, 2004

Announcements News

tata Motors goes global after making Indica the City Rover ! Taking over Daewoo !

Tata Motors and Daewoo Commercial Vehicle Co sign Investment Agreement: "Tata Motors Ltd has announced the signing of the Investment Agreement for the acquisition of DWCV for a total price of KRW 120 billion (approximately US$ 102 million or Rs.4,650 million) which is being financed equally through Tata Motors' equity in DWCV and direct lending facilities to DWCV. The price includes the perpetual and exclusive right to use Daewoo trademarks in Korea and overseas markets for the product range of DWCV.

The Agreement follows the completion of due diligence by Tata Motors as per the binding Memorandum of Understanding signed between the two companies on November 5, 2003 and the culmination of a successful Special Collective Bargaining Agreement between the management and the union of DWCV, recognizing the change in ownership of the company.

Mr. Ratan Tata, Chairman Tata Group, said, 'This is indeed a major step for Tata Motors and a milestone for the Group in its quest for globalization. I am confident that both companies will derive considerable benefits from this Agreement'.
Both Tata Motors and DWCV believe that they can extract significant synergies in several areas such as marketing, research and product development and other operational areas."