Mumbai: Tata Motors has sealed a deal to acquire Ford Motor Co's UK luxury brands Jaguar and Land Rover for $2.65 billion, NDTV news channel reported, citing unnamed sources.
The two companies, after completing final details of the deal on Monday, were expected to announce the deal on Wednesday, sources close to the negotiations said.
The announcement was expected to coincide resumption of work at Jaguar and Land Rover plants where employees were on Easter vacation, the source added.
A spokesman of the Tata Group, however, said discussions were still going on and the company had no comments on the deal.
"We have nothing to tell you now," he said.
Tata Group chairman Ratan Tata and Tata Motors managing director Ravi Kant are scheduled to hold a media conference on the company's pick-up trucks at the Bangkok auto show on Thursday.
Ford is expected to announce the deal from its headquarters in Dearborn, Michigan.
Tata Motors, meanwhile, is launching a $3 billion syndicated loan, and also plans to raise up to $1 billion in overseas and/or domestic markets.
Ford, which lost $2.7 billion in 2007 and $12.6 billion in 2006, is spinning off Jaguar and Land Rover to focus on turning around its loss-making operations in North America.
Profit at Tata Motors, however, jumped 26 per cent in the last fiscal year, with a 10 per cent increase in exports in the last reported quarter ended December.
Tata Motors, meanwhile, is also marketing its own high-end brands. In March the company introduced the Sumo Grande, a sport utility vehicle priced at Rs749,000 ($18,500).
Ford shares rose 1.7 per cent in German trading after the television report. The shares were up 10 cents at $6.06 as of 1:28 pm in Frankfurt. The stock gained 9 cents at $6.05, before regular New York Exchange composite trading.
Tata Motors advanced 2.7 per cent to Rs679.95 at the close of trading on the Bombay Stock Exchange today.