The air was heavy with tension and expectation at the business headquarters of the Tata Group at Bombay House and at Mahindra and Mahindra headquarters Gateway Building, with both automakers waiting for the Ford management to finalise a buyer for its marquee British car brands – Jaguar and Land Rover.
The US auto-major and its advisors -- Goldman Sachs, HSBC and Morgan Stanley — are expected to consider the revised bids submitted by potential buyers later this week.
The Hindustan Times had reported on December 5 that the bidders had placed their “value-adjusted confirmation bid” that day. The revised bids, ranging between $1.7 billion and $2.2 billion, were higher than the indicative bids submitted earlier, sources said.
The buzz in investment banking circles is that it could turn out to be a direct fight between the Tatas and the Mahindras. “The bids submitted by both the firms were very close and a decision from the Ford management is expected later this week or early next week,” investment banking sources said.
However, spokespersons for both Indian automakers declined to comment.
The workers' union of Jaguar and Land Rover had given priority to the bid submitted by Tatas. M&M, which had backed out after the first round, returned on Wednesday with Apollo Capital to make a final bid, which sources said was close to the bid submitted by the Tatas.
Tata Motors shares were up 0.70 per cent at Rs 771.65 on the BSE on Tuesday, while M&M shares were up 0.86 per cent at Rs 782.80.