Tata Passenger Electric Mobility (TPEML), a Tata Motors subsidiary, recently announced that it has received all regulatory approvals for the acquisition of Ford India Private Ltd (FIPL)'s manufacturing plant in Sanand, Gujarat and that the transaction will be completed on January 10, 2023.
In August 2022, the automaker agreed to buy the facility for Rs 725.7 crore, which included the entire land and building, vehicle manufacturing machinery and equipment, and the transfer of all eligible employees.
“Pursuant to the fulfilment of the necessary condition precedents for the transaction, including receipt of relevant government approvals, the parties have decided to proceed towards completion of the transaction on January 10, 2023,” the firm stated in an exchange filing.
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According to the company, with present capacities nearing saturation, the acquisition will unlock an additional state-of-the-art manufacturing capacity of 300,000 units per year, scalable to 420,000 units per year. "As part of the acquisition, all qualified employees of FIPL's vehicle manufacturing plant were offered employment with TPEML on terms, conditions, and benefits comparable to those already available to them," the company said.
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