Tata Motors might acquire Daewoo Motors’ car-making venture in Romania

Tata Motors might acquire Daewoo Motors’ car-making venture in Romania

Tata Motors is rumored to be considering acquiring the stake of Daewoo Motors in the Daewoo Automobile Romania SA (DARS).

However, they would be facing bids from global players including Ford, GM Daewoo, Renault-Nissan combine and China’s Chery Automobile for this deal.

The value of this deal is yet to be decided but market sources put it at around 0.6 billion Euros. The unit has an installed capacity to produce 100,000 cars a year in addition to 150,000 engines and 200,000 transaxles.

Tata has officially refused to comment on this market rumor saying: “We do not comment on our mergers and acquisition strategies.” However, there are reports claiming that the company has evinced interest in buying the carmaker.

Acquiring this venture would help Tata establish a base in the European market for their models including the Indigo and Indica.