India's Mahindra Stops Pursuit of Ford Brands in India

MUMBAI, Sept 14, 2007; Reuters reported that India's Mahindra & Mahindra has decided not to bid for Ford Motor Co's Land Rover and Jaguar brands, the Economic Times reported on Friday, citing investment banking and industry sources.

But Tata Motors was still interested in the brands, it said.

A spokesman for Mahindra, India's top tractor and utility vehicle maker, could not comment immediately, while Tata Motors declined comment.

The newspaper quoted an investment banking source as saying that Mahindra had pulled out as Jaguar and Land Rover would have to depend on Ford for powertrains even after the deal and it was concerned about emission norms that would be enforced in Europe in 2012.

A Fiat spokesman said this week the Italian company was ready to provide technical support to Tata Motors if the Indian company was interested in Land Rover and Jaguar.

A source familiar with the matter has told Reuters that U.S. buyout firms TPG and Ripplewood have expressed interest.

Ford plans to have more details on the sale of Jaguar and Land Rover by the end of the year or early 2008.