The development follows a top-level meeting held on Wednesday, between the Chairman of the $106 bn Tata Group N Chandrasekaran and Chief Minister MK Stalin.
Although the finer details are yet to be made public, the planned takeover will offer relief to thousands of employees, who were staring at uncertainty after the US MNC announced its decision to pull the plug from its India operations last month. It is learnt that Stalin, in his bid to woo further investments into the state, had requested the Tata Group Chairman to consider picking up Ford’s unit. Industries Minister Thangam Thennarasu and Chief Secretary V Irai Anbu also attended the meet. The Tata Group has an extensive presence in TN, with verticals such as software, tea, chemicals and power, and the latest deal could augment the group’s prowess in the auto sector.
Recently, TM Anbarasan, Minister for Rural Industries had expressed confidence about TN reaching a settlement package with the employees of Ford in the wake of the company deciding exit its Indian auto manufacturing business as part of its ‘restructuring’ exercise. Ford, which has invested about $2.5 billion at its Chennai and Sanand (Gujarat) plants, would stop selling vehicles like the EcoSport, Figo and Aspire manufactured from these factories.