INSUBCONTINENT EXCLUSIVE:
By Anjani TrivediHow the mighty have fallen.
The Tata Group is exploring options for its iconic Jaguar Land Rover Automotive Plc unit
including a stake sale or finding a venture partner to jointly develop cars and lower costs, P R Sanjai, Ruth David, Tommaso Ebhardt and
David Welch of Bloomberg News wrote Friday, citing people familiar with the matter.
At the rate Jaguar Land Rover was bleeding cash and
had few options but to look outside the company for a solution.
How did it get here A complete lack of fiscal prudence in recent years, a
one-tracked focus on investing billions of pounds in technologies that haven't returned much, and a flawed and failed China strategy.
The
hubris, continuing to spend relentlessly on future projects such as electric cars and batteries
It took a 3.1 billion pound ($4.1 billion) impairment charge last quarter, which signified more than just a non-cash loss
Operating cash flows are falling relative to capital expenditures
The reality is this has been a long time coming
That the parent is now seeking outside investors means Tata Motors probably isn't willing to bail out the unit yet.
Investors cheered the
news, driving up shares of Tata Motors as much as 3.7 percent
