Tata Motors has denied reports of its plans to sell its stake in Jaguar Land Rover (JLR) after talks with government to secure bailout package could not materialise, cited media reports.
In Q1, JLR’s retail sales improved in July, compared to the prior month supported by recovery in China and North America and maintains strong liquidity, stated a press release. The group stated that JLR, which it acquired in 2008, remains a key pillar of Tata Motors and the wider Tata Group.
Earlier in August, the Indian automaker refuted reports of its plans to sell up to 49 per cent stake in its domestic passenger vehicle business.
Meanwhile, Tata’s struggling steel plant in the UK facility had been further hit by the COVID-19 related impacts; Brexit and drop in China sales which weakened the steel demand in the region. The company had sought £500mn ($655.05mn) funding from the UK and Welsh government along with considering to switch to electric arc furnace and shutting down its two blast furnaces and potentially part-nationalise its Port Talbot unit in Wales.
The company’s liquid steel output fell by 19pc in Q1FY21 to 2.15mn mt from 2.65mn mt in the prior year period.