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Nice Work Ford

James Kellerman

Ford has finally sold Jaguar and Land Rover today to Tata. What strikes me about the deal is how much money Ford has managed to throw away with these two companies.

Nevertheless, the $2.3bn (£1.15bn) price-tag put on the two carmakers represents "a bargain compared to the prices paid by Ford almost 20 years ago", according to Global Insight automotive analyst Rebecca Wright.

Ford paid $2.5bn for Jaguar in 1989 and $2.7 billion for Land Rover in 2000, and is believed to have invested an additional $10bn.

$15bn in investment for a return of $2.3bn. Ouch.

Link BBC