Tata Motors Aquisation of Daewoo Commercial Vehicles

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Tata Motors – India aquisation of Daewoo Commercial Vehicles Company- Korea The case examines the first-ever overseas acquisition by an Indian automobile company. It gives a details of the acquisition of Daewoo Commercial Vehicles plant by Tata Motors, world's sixth largest commercial vehicle manufacturer. Daewoo Commercial Vehicles Company (DWCV) had an installed capacity of 20,000 vehicles from a state-of-the-art plant built in 1995. Produced more than 90 truck models in the heavy commercial vehicle range (210 –400 hp engine).DWCV had the second largest market share in heavy trucks in Korea in 2003 Daewoo Group’s bankruptcy lead to the bankruptcy of Daewoo Motors in 2000.A court receiver appointed to liquidate the Daewoo’s assets after its collapse , was selling the firm. The official advisers to the deal, sent proposals close to 15 companies asking if it was interested in bidding for Daewoo Commercial Vehicle. Few among them were Financial investors like Carlyle Investment Corporation, which was advised by George Bush Sr. ,A local auto component company –Tongil Corporation, European Transmission Company-Voith,Few & un-named European CV manufacturers and Tata Motors. Having gone thru the details about the Company, officials of Tata Motors went all into the analysis & acquisition of Daewoo. Tata Daewoo (officially Tata Daewoo Commercial Vehicle) is a commercial vehicle manufacturer headquartered in Gunsan, Jeollabuk-do, South Korea and owned by Tata Motors. It is the second-largest heavy commercial vehicle manufacturer in South Korea. The company as established in 2002 as Daewoo Commercial Vehicle Co. Ltd, after it was spun off from parent Daewoo Motor Co. Ltd. In 2004 it was acquired by Tata Motors, India's largest passenger automobile and commercial vehicle manufacturing company. Tata Daewoo later had a joint venture with Afzal Motors of Pakistan where it manufacturers trucks and Tata Daewoo also has manufacturing facilities in South Korea. The Tata Daewoo...
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