TATA is now looking to add more strenght to its auto lineup. Post the launch of the NANO the 1 lakh car and bolstering its steel arm with the acquisition of Corus, the Motors division is looking to buy Jaguar and Land Rover. This takeover would mean that TATA will now have a better presence in the world market, till now they have only been able to be successful in the Indian market with 90% of the sales inland.As now Tata has provided a car for the middle class and made a car per family as very reasonable possession, they are stepping in the big league for the premium and luxury cars.

The news is not all great for TATA, the private equity groups-Cerberus Capital Management LLC, Ripplewood LLC and One Equity Partners LLC are also looking at this acquisition with seriousness.

Ford, which lost $12.7 billion in 2006, has been looking to sell its Jaguar and Land Rover units to avoid further losses. It will be interesting to keep an eye on this development.