Tata Motors unveils FD scheme to raise Rs 1,932crore

MUMBAI: Tata Motors has launched a fixed deposit (FD) scheme in an attempt to raise money from the public at a time of a serious liquidity crunch across the globe. The country���s largest auto maker announced the scheme through a newspaper advertisement on Monday.

Tata Motors will offer 10% for a one-year deposit, with senior citizens getting 0.5% more. The company has approval to raise up to Rs 1,931.5 crore from the public through FDs.

The scheme comes when the company is finding it difficult to refinance the $3-billion debt it had raised for the acquisition of Jaguar Land Rover (JLR), point out analysts.

Last month, the company launched a rights issue which was bailed out by the promoters and underwriters in the absence of response from the shareholders. The rights issue had raised Rs 4,145.8 crore.