Ford Re-evaluates Decision to Sell Land Rover and Jaguar

Ford Motor Company is re-evaluating its intention of selling its two premier products Land Rover and Jaguar as it sees light in the performance of the two brands.

Reports from sources familiar with the development stated that the little improvement in sales and image of Land Rover and Jaguar made the management of Ford more confident about the brands. For this reason, the company plans to go back over its decision to put these Ford products up for sale. Furthermore, the success of the Jaguar XF in the Frankfurt Auto Show is another factor that holds back the idea of a sale. Even though the future of Jaguar is vague, a positive response from auto show goers offers a pinch of hope to the struggling automotive company.

Ford is currently pondering on the opportunity to trade only its small stakes to companies. On the other hand, the board members of the automotive firm have developed enthusiasm to hold on to the control of management. In view of that, Indian companies Tata and Mahindra’s proposals may lose their feasibility. Moreover, if only small brands will be offered, the interest of Tata and Mahindra for a sale may eventually fall off.

According to some sources, bankers who are involved in the proposed sale have recommended the company to carry on its plan of putting up a full sale for Land Rover and Jaguar. The bankers claimed that selling the two brands would be the best way to strengthen the waning condition of Ford.

Keeping hold of a minority stake that will draw board members from both Ford and the company that will win the bid is another option being mulled over by the management of Ford. If this alternative will push through, Hyundai and Tata-Fiat are expected to be the top choices among the many auto bidders.

Sources from the Land Rover division said that a feasibility study of making India another auto market is being carried out by Land Rover. If the study can produce positive results, Ford vehicles are expected to be out in the Indian market in just a few months.

Ford also claimed that at present, Volvo is not among the brands to be put up for sale.