Oct. 22 – Tata Motors has taken full control of Spanish bus and coach manufacturer, Hispano Carrocera S.A., by acquiring a 79 percent stake in the firm.
The Indian vehicle company already holds a 21 percent stake in Hispano, which it bought in 2005 for around US$700 million. “Tata Motors has acquired the remaining 79 percent shares in Hispano by way of exercise of the existing call option, through mutual agreement with other shareholder, Investelia SA Spain,’’ the company said in a statement.As per Tata Motors’ 2008-09 annual report, the company had an option to acquire the remaining 79 percent of share through one or more transfers, as per terms and conditions duly agreed upon at a price not exceeding US$135 million as of March 31, 2009.
“The company will further strengthen the ongoing initiatives to improve operational efficiencies such as productivity improvement, cost reduction, and new product development, to improve market share of the company and enhance brand value,” the company spokesperson said.
