Over the past couple of months, there have been rumors that the owner of Jaguar Land Rover was interested in selling some or all of the company, and there were separate rumors that Peugeot was looking for a good buy. Those rumors have now phased into a new chimera rumor that Peugeot is interested in merging with Jaguar Land Rover.
The thing is, Tata, the owner of Jaguar Land Rover, and Peugeot both deny that former will be sold to the latter, reports Automotive News:
PSA is not in any hurry for “any acquisition and can stand alone,” the French automaker said in a statement Thursday. “We are generating the cashflow necessary to pay for our future. If an opportunity comes, like Opel-Vauxhall, we will consider it.”
Tata Motors said: “As a matter of policy, we do not comment on media speculation. But we can confirm there is no truth to these rumors.”
The rumor apparently comes from an unidentified leak at JLR according to a UK-based press association appropriately named Press Association. According to the alleged leaks, there’s a “post-sale integration” document negotiations on potential cost-savings from a deal are moving quickly.
The rumor is mostly suspicious because of its source—the Press Association—is similar to something like the Associated Press, and its reports are generally accurate. But for now all we have to go on are the rumors from an alleged leak and the two statements declining it all.
Peugeot has previously cited interest in expanding its market presence beyond Europe, including a return to the U.S., where a brand like Jaguar Land Rover already has a dealer network that could be suitable for an easier reintroduction for the Peugeot brand.
Meanwhile, Tata posted a $4 billion loss in the last quarter of 2018, and JLR faces an uncertain Brexit outcome, declining sales in China, and global shift away from diesel and huge investments in electric powertrains, all of which could have a disastrous impact on the company that already laid off 4,500 employees back in December.