Tata Motors’ JLR to raise $400 million via bonds to fund growth
Jaguar Land Rover, the luxury automotive company wholly owned by Tata Motors has stated that the company is in the process of raising $400 million or INR .2,100 crores via bonds.
These funds will be utilized towards operation costs and future growth plans. Jaguar Land Rover Automotive announced an offer of $400 million Senior Notes due 2023.
These will be guaranteed on a ‘senior unsecured basis’ by Jaguar Land Rover, Land Rover, Jaguar Land Rover North America, Land Rover Exports and Jaguar Rover Exports. All proceeds from the issuance and sales of these notes will be channelized towards growth and capital spending plans of Jaguar land Rover. It was earlier last year that JLR announced an investment of £ 1.5 billion per annum for the next five years towards product development in a bid to position itself as a top premium brand.
Following this announcement, JLR have also stated that it will be investing £2 billion for 40 product actions globally till the end of the current fiscal. Expansion of their Pune facilities is also on the cards. It was only last week, from this Pune plant that the company launched the locally built Jaguar XF 2.2 liter saloon. Plans are also in the making for local assembly of the 2013 version of Freelander which will be followed by the Jaguar XJ Ultimate luxury saloon and Jaguar F-Type sports car as a CBU.