major overseas acquisitions by tata group 123

8/7/2019 Major Overseas Acquisitions by Tata Group 123

1/5


2/5

The company, which celebrated its centenary in August last year,

wants to boost its annual output of 8.7 million tonnes to 15 million

tonnes by 2010, and take it upwards to 30 million tonnes by 2030.

More stunning moves on the mergers and acquisition front can

definitely be expected, it says.

In January 2007, the group pulled off Indias biggest ever takeover of

an overseas company to buy Anglo-Dutch steel-maker Corus in a $12

billion deal that made it the combined entity the worlds fifth largest

producer of the commodity.

This came just over a year after it acquired Singapores NatSteel,

which also has a presence in Thailand, China, Malaysia, Vietnam, the

Philippines and Australia followed by the acquisition of Thailands

Millennium Steel for a $421 million.

Tata Motors:

South Koreas Daewoo Commercial Vehicle Co was acquired by the

company in March 2004 for $102 million and gained, in the process, a

market share of 30 percent and access to markets where it had no prior

presence.

This was followed by the acquisition of a 21 percent stake in Spanish

bus maker Hispano Carrocera for $18 million with an option to pick up

the remaining stake at a later date. This helped the company get

technology to make top-end busses.

Another company in the fold - Tata Technologies, which provides

automotive engineering and design services - bought Britains Incat

International for $53 million.

Bhagwan Mahavir College of Business Administration1


3/5

Tata Consultancy Services:

This company, which was earlier a division of Tata Sons, has been

among the most aggressive shoppers for companies overseas. It has

acquired six companies in recent months, though the net value of the

deals is no more than $100 million.

In the second half of 2005, following the merger of group company

Tata Infotech into its fold, TCS acquired financial services company

FNS of Australia for $26 million and then Chiles outsourcing major

Comicrom for $23 million.

TCS, which has 160 offices in 30 countries, also entered into a

structured deal with the British insurance major, the Pearl Group,

which essentially called for the two entities to set up a subsidiary with

TCS as the majority partner.

VideshSancharNigamLtd:

The Tata group acquired the former state-run, international telecom

carrier a few years ago. The company has made several overseas

acquisitions since then with the aim of becoming a top-end services

provider in the industry.

Some of the acquisitions include undersea cable company Tyco of the

US for $130 million, Internet service provider Dishnets India division

for $64.28 million and international telecom service provider

Teleglobe of US for $239 million.

Tata Chemicals:



4/5

Following its acquisition of Hindustan Lever Chemicals, Tata

Chemicals was on the lookout for a steady supply of phosphoric acid

for its newly acquired plant at Haldia.

It, accordingly, took over two overseas for a total value of $215 million

- Indo Maroc Phosphor of Morocco in March 2005 and Brunner Mond

Group of Britain in December last year. Morocco produces over 50

percent of worlds rock phosphate.

Tata Tea:

In 2000, Tata Tea bought British giant Tetley for a $407 million - in

what was then the largest such deal by an Indian company - and started

scouting for similar deals to become a global tea and related drinks

brand.

Another acquisition has been a 33 percent stake in South AfricanJoekels Tea Packers for an undisclosed amount that was announced

this month. It had earlier acquired the US-based Good Earth Corp for

$32 million.

The companys other picks include Czech Republics Jemca and 30

percent stake in the US-based favoured water manufacturer Glaceau

for $677 million.

Indian Hotels:

This company, which runs the Taj Group of hotels, acquired several

hotels abroad for $121 million in the past few years. It has set aside

$100 million for future acquisitions in Europe, the Middle East, Asia

and the US.



5/5

In December 2006, it acquired W, a hotel at the Woolloomooloo Bay

in Sydney, then it took over the management of The Pierre, a luxurious

landmark hotel on New Yorks Fifth Avenue. India Hotels has 39

hotels in India and 18 worldwide.

Another acquisition was Campton Place Hotel in San Francisco

Tata AutoComp Systems:

This company - which makes auto components from 14 plants, three

engineering centres and three export-oriented units for clients like

General Motors, Ford and Toyota - acquired W? Weidinger of

Germany for $7 million last year.

Tata Interactive Systems:

A pioneer in simulations business in India, this company too made

acquired several companies overseas - Notably Tertia Edusoft GmbH

of Germany and Tertia Edusoft AG of Switzerlandm - and is keen on

more buy outs in the future.


major overseas acquisitions by tata group 123

Documents