NEW DELHI: After a sharp fall in July 2021 due to chip shortage faced by Jaguar Land Rover, Tata Motors’ share is back with a bang on the stock exchanges. The auto-major’s share hit a 52-week high on Thursday to Rs 383 and closed the session 12.63% higher at Rs 378.50 on the NSE.
This big spike of Thursday came on speculations that the Tatas may consider taking over Ford’s plant located on the outskirts of Chennai (Maraimalainagar). On Wednesday, Tata Sons Chairman N Chandrasekaran met Tamil Nadu Chief Minister MK Stalin, who is believed to have invited the Chairman to discuss about taking control of the plant.
Ford had last month announced closing down its two plants in India and winding up sales operations due to massive losses. This decision of Ford has become a concern for the newly elected Tamil Nadu Government as permanent closure of of the company means loss of thousands of jobs. However, neither the Tata Group or the Tamil Nadu Government issued a statement or said anything on the speculations.
The state government has publically stated that it will help identify a buyer for the facility. Big names such as Hyundai and Ola are already doing the rounds for this plant. Meanwhile, Ford had recently appointed Balasundaram Radhakrishnan to the role of transformation officer, FIPL (Ford India Pvt Ltd).