Jaguar Land Rover terminates import deal with BAH. Stock plummets

Jaguar Land Rover Limited terminated the import agreement with WSE-listed British Automotive Holding. As a result, the company’s shares dropped by over 50 percent. According to BAH, the agreement will expire on August 1, 2020. The subject matter of the contract is, among others, to regulate the rules for the provision of services of an authorized importer, distributor and authorized Jaguar and Land Rover service station in the European Economic Area by a BAH subsidiary. “In the document sent to the importer, Jaguar declares that he expects the parties to continue to exercise their rights and obligations under the agreement. The intention of the issuer's management is to continue the issuer's rights and obligations under the import agreement during the notice period,” BAH said in a market filing, adding that it is “shocked” by the Jaguar’s decision. The company added that it plans to continue, through subsidiaries, Jaguar Land Rover dealerships, both within the existing Jaguar Land Rover showrooms and facilities planned for launch by the capital group in accordance with the Jaguar Land Rover dealer network development plan in Poland.