Tata Motors to complete Ford Sanand plant acquisition transaction of January 10.

Tata Motors recently notified the exchanges that its subsidiary Tata Passenger Electric Mobility Ltd. (TPEML) will complete the transaction of acquisition of Ford India Pvt Ltd. (FIPL) Sanand plant on January 10, 2023.

TPEML executed the Unit Transfer agreement on August 7, 2022, for the acquisition of the Sanand plant in Gujarat at a cost of ₹725.7 crores. All eligible employees of the plant were also transferred. The plant includes land and buildings, a vehicle manufacturing plant along with machinery and equipment. 

The company stated that the acquisition will provide a vehicle manufacturing capacity of 3,00,000 units per annum which is scalable to 4,20,000 units per annum. 

Further, the company mentioned that all eligible employees of FIPL’s vehicle manufacturing plant have been offered employment with TPEML on terms and benefits of service similar to those that are currently availed by them. 

HBL