Business

JLR seeks $1.3 bn amid Tata uncertainty

By Sohail Khan 21 September 2026, 12:14 am

Benchmarks
Nifty23,346.4075.81

FEATURED FUNDS★★★★★

Motilal Oswal Midcap Fund Direct-Growth

5Y Return
22 %

Invest Now

Enter search text:

Business News›Industry›Auto›Auto News›JLR begins talks with global banks for $1.3 billion five-year loan; some lenders flag Tata Sons leadership uncertainty

Read Today's Paper

JLR begins talks with global banks for $1.3 billion five-year loan; some lenders flag Tata Sons leadership uncertainty
Synopsis

Jaguar Land Rover is in talks with global banks for a £1 billion loan. Lenders are seeking clarity on N Chandrasekaran's leadership at Tata Sons. This uncertainty could influence their decision-making process. The automaker remains confident in securing the necessary funds. Developments at the parent group do not directly impact JLR's operations.

JLR loan talks: Tata leadership in focus

Mumbai: Tata Motors-backed Jaguar Land Rover has begun talks with global banks to raise about 1 billion through a five-year term loan, but uncertainty surrounding the leadership of the Tata Group could weigh on lenders' decision-making, people familiar with the matter said.

JLR began discussing its fundraising plans with eight or nine banks last week, the people said. During the discussions, some lenders suggested that the company delay the fundraising until greater clarity emerged over the continuity of N Chandrasekaran as chairman of Tata Sons, the group holding company.

Also read: Tata Trusts says Chandrasekaran reappointment resolution was invalid, rejects casting-vote argument

Chandrasekaran is also chairman of JLR, prompting lenders to seek greater visibility on his continuity before committing to the financing, the people said.

Lenders are evaluating the proposed financing in the context of the level of parental support available to JLR, the people said. Their concerns over leadership stem from Tata Trusts chairman Noel Tata's opposition to the Tata Sons board decision granting a five-year extension to group chairman Chandrasekaran.

ET Bureau

Uncertain times

The automaker, however, is confident that it will be able to raise the funds, as developments at its parent group do not have a direct bearing on its operations, people familiar with the matter said.

The proposed term loan is likely to carry a fixed spread over the sterling overnight index average (SONIA), people said. The pricing is expected to be well within 200 basis points over SONIA, they added. JLR has approached banks including HSBC, Citibank, MUFG, DBS and BNP Paribas as part of fundraising discussions, as per the people.

The Tata Group did not comment. Citi declined to comment, while HSBC, MUFG, DBS and BNP Paribas did not respond to ET's emailed queries. Talks are progressing on matter and there has been no impact of any leadership uncertainty on the matter, top executives close to the matter said.

Also read: Inside the 24 hours that laid bare Tata’s brutal power struggle

"Tata group has never been impacted by such issues in the domestic or global markets," one of the executives said. In March, JLR indefinitely postponed a proposed 500 million senior unsecured bond issue due to volatility in global markets following the US attack on Iran.

At the time, JLR planned to use the net proceeds for general corporate purposes, including the likely repayment of 500 million of the 1 billion drawn from a 2 billion bridge facility put in place in September 2025 during the cyberattack on JLR, and to refinance notes due in January 2026 and November 2026, as per the March 18 statement from S&P Global.

Add as a Reliable and Trusted News Source
Add Now!

(You can now subscribe to our WhatsApp channel)

(Catch all the Business News, Breaking News and Latest News Updates on The .)

…moreless

(You can now subscribe to our WhatsApp channel)

Read More News on
bnp paribastata motorsJaguar Land RoverTata MotorsTata Groupterm loanfinancial marketsglobal banksfundraisingN Chandrasekaran

(Catch all the Business News, Breaking News and Latest News Updates on The .)

…moreless

Enter search text:

Continue reading with one of these options:
Limited Access
Free
Login to get access to some exclusive stories

& personalised newsletters
Login Now

Unlimited Access
Starting @ Rs120/month
Get access to exclusive stories, expert opinions &

in-depth stock reports
Subscribe Now

Unlock Access to All Exclusives with ETPrime FREE TRIAL

15 Days Free: Unlock All ETPrime Exclusives, Market Tools & ePapers

Trial offer expiring in00 : 05 : 00

I'd rather pay ₹2599 now

Uh-oh! This is an exclusive story available for selected readers only.

Worry not. You’re just a step away.

Prime Account Detected!

It seems like you're already an ETPrime member with

Log out of your current logged-in account and log in again using your ET Prime credentials to enjoy all member benefits.

Unlock ETPrime's Exclusive Stories Today!

Subscribe to gain powerful insights on business, stock market and industry trends.

Big Price Drop! Flat 40% Off

Student Only Offer

Already a Member? Sign In now

Already a Member? Sign In now
Already a Member? Sign In now

Offer Exclusively For You

Save up to Rs. 700/-

ON ET PRIME MEMBERSHIP

Avail Offer

Offer Exclusively For You

Get 1 Year Free

With 1 and 2-Year ET prime membership

Avail Offer

Offer Exclusively For You

Get 1 Year Free

With 1 and 2-Year ET prime membership

Avail Offer

Offer Exclusively For You

Get Flat 40% Off

Then ₹ 1749 for 1 year

Avail Offer

Offer Exclusively For You

ET Prime at ₹ 49 for 1 month

Then ₹ 1749 for 1 year

Avail Offer

Special Offer

Get flat 40% off on ETPrime

Avail Offer
Avail Offer

Claim NowAlready a Member? Sign In now

Need Assistance?

Connect with an ETPrime expert for personalized support and guidance

+91 9484700004

' + h3 + '

' + h4 + '

' + listing + '

What’s Included with

ETPrime Membership

1Exclusive Insights That Matter

Uncover the truth with our investigative stories

Make strategic moves using the real-world case studies

Read industry-specific stories to identify emerging trends

Spot opportunities with in-depth insights that matter

Trump temper on H-1B visas is forcing Indians to do these things to stay put in US

What Adani’s US indictment means for India Inc’s overseas fundraising
Why veterans like Reliance, L&T are on acquisition spree? Aswath Damodaran has an answer.

Will China’s dollar bond sale in Saudi Arabia trump the US in financial world?
Huawei launches its own OS to compete with Google and Apple. But can it win beyond China?

The problem with lab grown diamonds
Why a falling rupee is a better option for the economy

A list of top 20 momentum stocks that have delivered massive returns in one year