Jaguar Land Rover (JLR), owned by Tata Motors of India, has signed a 5 billion yuan ($704.50 million) secured term loan facility with Chinese donors, marking the first debt financing in China, it said. Arthur Yu, vice president of JLR and chief financial officer of China, said the three banks that would provide three-year revolving loans include Bank of China, ICBC, China Construction Bank, Bank of Communications and Shanghai Pudong Development Bank. The fundraiser comes as the coronavirus epidemic has hit the supply chain and sales of global motorists. Sales from China accounted for 25% to 30% of JLR’s global sales, but have increased by 50% over the past two months, the UK said. The facility told reporters on Friday that the facility could help JLR China better manage cash flow in the wake of the coronavirus epidemic.JLR, which imports cars and has partnered with Uhu-based Cherry Automobiles to produce in eastern China, said its China sales in April were equal to the same year and sales increased in May. Yu said the company expects sales of China’s luxury car segment this year to be equal to or slightly higher than last year.
