If you thought Tata Motors would be stopping for breathe after acquiring Jaguar and Land Rover, here is something news. It is already interested in acquisition of the General Motors' Hummer and is planning to raise $1 billion abroad. It is aiming at new acquisitions and strategic alliances in the overseas market.
Tata Motors sent notice to its shareholders seeking their consent for its different expansion plans in the overseas market. It plans to raise $1 billion in debt or equity from the overseas market. According to the notice issued to its shareholders, "The Company has major growth plans for expanding its product range and presence in the domestic and global markets in commercial and passenger vehicles, including strategic alliances and acquisition opportunities." Tata Motors needs approval from its shareholders for raising $1 billion by issuing Foreign Currency Convertible Bonds or equity shares in overseas market. It already has their consent for borrowing up to the limit of Rs. 20,000 crores.
Tata Motors launched its much awaited car Tata Nano earlier this year. Later, it acquired one of the most prestigious brands Jaguar and Land Rover in the last quarter. The fund raising plan would partly finance the $2.3 billion buyout of these to luxury brands. Its Tata Nano would launched in October this year and is anxiously awaited car by the Indian customer.
