Fiat India Automobiles Limited, a 50:50 Joint Venture between Tata Motors Limited and Fiat Group Automobiles SpA today announced the completion of financial closure for projects at their plant. The projects involve manufacturing Powertrain and Fiat & Tata branded cars at their Ranjangaon plant near Pune. The company has finalised three syndicated secured credit facility agreements with a consortium of Indian and International banks for a total amount equivalent to INR 25 billion.

All the Syndicated Credit Facilities have been arranged by Citibank N.A. acting through its Mumbai, London and Milan offices and include:

* An ECB Credit Facility, supported an insurance policy issued by SACE (the Italian export credit agency), for an amount of EURO 130 million, with a tenor of seven years, intended for capital expenditures purposes of the company

* An INR Term Credit Facility for an amount of INR 10 billions with a tenor of 6 years, intended for capital expenditures purposes of the company

* An INR Short Term Revolving Credit Facility for an amount of INR 6 billions, with a tenor of 364 days, intended for working capital purposes of the company

The participating banks are Calyon, Citibank, Deutsche Bank and Natixis under the ECB Credit Facility; State Bank of India, IDBI Bank, Punjab National Bank and Union Bank of India under the INR Term Credit Facility and State Bank of India, IDBI Bank, Punjab National Bank, Union Bank of India and Citibank under the INR Short Term Revolving Credit Facility.

Fiat India Automobiles Limited (FIAL) today announced its intent to increase its focus on exports under which they have exported the recently launched Fiat Linea to South Africa.

As part of this strategy, Fiat has begun testing new growth opportunities overseas with sharp focus on SAARC countries like Nepal, Bhutan and Sri Lanka as well as other right hand drive countries. The company targets to export 7000 units of Fiat’s India manufactured cars this year.

As a first step the company has exported a batch of Fiat Linea to South Africa. The exported batch of Linea is similar to the one driven on Indian roads. Fiat’s products have been well received in South Africa in the past and cars were supplied to this country from Fiat’s plants in Brazil and Europe. Fiat India expects to receive a good response to the Linea 1.4 emotion pack in this market.

Speaking on the initiative, Mr. Rajeev Kapoor, CEO, Fiat India Automobiles Limited said, “The Fiat Linea has been extremely well received by customers and auto enthusiasts in India as it has redefined the segment with its superior design, performance and precision engineering. The export of the Linea to South Africa is an integral part of our endeavour to reach out to international markets and establish our presence beyond India. We are confident that we will be able to replicate the success of this car overseas as well and thereby expand our footprint and brand identity across markets. This is a step in the direction of reaffirming our position as an international auto giant.”

This is not the first time that Fiat has entered an export venture in South Africa. In the last 12 months, the company has exported Palio to South Africa