Ford Motor has weighed offers for its luxury brands Jaguar and Land Rover, and it appears likely that Mumbai-based Tata Motors is the winner.

The Detroit automaker announced that its talks with Tata for the two British units have reached the advance stage, but a deal is not yet done. "We will proceed with further substantive discussions with Tata Motors over the forthcoming weeks with a view to securing an agreement that is in the best interests of all parties concerned," Lewis Booth, executive vice president of Ford's European units, said in a statement, according to the Associated Press.

It's unclear why Ford chose to disclose this information before the deal is done. It did not say how much Tata has offered to pay for the two units. Ford had announced its intentions to sell them months ago. 

Ford is reportedly keeping its options open with other interested buyers. One Equity Partners, the private equity arm of J.P. Morgan Chase that's headed by former Ford chief executive Jacques Nasser, is still in negotiations, according to the Wall Street Journal. Another Indian automaker, Mahindra and Mahindra, is reportedly pursuing the brands with the private equity firm Apollo Management.

Adding Jaguar and Land Rover to its business would mark the first major overseas auto presence for the 139-year-old Tata Group, which began making cars 10 years ago. The company is a steel conglomerate and has recently ventured into everything from chemicals to luxury hotels. It's expected to unveil a $2,500 car at the New Delhi auto show in just a few days, in an attempt to attract many Indian buyers who would otherwise be unable to afford a new car.

Ford has owned Jaguar since 1989 and Land Rover since 2000. It chose to unload the units because it wants to boost the profitability of its European business, and the luxury brands have been a drag on its costs. It is expected to announce later today that sales of its U.S. brands declined during December.

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