EU nod for Tata-JLR deal likely next month

The $2.3 billion acquisition of British luxury brands Jaguar and Land Rover by Tata Motors is expected to receive anti-trust approval from the European Union (EU) by the end of April.

The anti-trust body is expected to rule on the historical deal by April 30, said an official notification from the European Commission.

Tata Motors, the auto arm of the Tata Group, had announced on March 26 that it has entered into a definitive agreement with US car maker Ford, the owner of the two premium brands, for the deal.

"The transaction will not result in a significant impediment to effective competition, on the basis that, whatever definition of the market were adopted... The parties' combined market shares are small," the company has informed the European Commission.

"Tata Motors will acquire outright ownership and sole control of JLR, by the acquisition of a combination of shares and assets. The transaction is conditional, among others, on obtaining merger control clearance under the Merger Regulation," it added.

Jaguar is a manufacturer of luxury passenger cars, which was acquired by Ford in 1989 while Land Rover primarily makes sports utility vehicles (SUVs). Land Rover was bought by the American car maker from BMW in 2000.