The Tata Group has reached an agreement with Jardine Motors to acquire its 50% stake in Concorde Motors.

CML is a 50:50 joint venture between the Tata group and Jardine Motors. After the buyout, Tata Industries will hold 44.4%, Telco 49% and Tata Finance the remaining 6.6%. However, Tata Group officials refused to reveal the consideration paid to Jardine Motors.

The agreement is subject to receiving the necessary statutory approvals and consents, according to a press release issued by the company.

The current head of the joint venture, Alan Rosling, has stepped down as the managing director of Concorde Motors. He however continues to be a country chairman of Jardine Matheson, the parent company of Jardine Motors. Tata sources said that they would nominate a new managing director soon.

Concorde Motors has a total of 450 employees and all would be retained, officials maintained. The nature of business will continue to be the sales and service of all Telco passenger vehicles.

With Concorde Motors accumulating huge losses Jardine had been contemplating exiting the joint venture.