Tata Motors Secures Majority Stake in Italian Commercial Vehicle Manufacturer Iveco for 3.43 Billion Euros
NEW DELHI: Tata Motors has secured an 89.42% stake in Italian commercial vehicle manufacturer Iveco Group for approximately 3.43 billion euros. This acquisition, finalized through a cash tender offer, positions Tata Motors as the controlling entity of the European company. It marks Tata’s largest acquisition since its purchase of Jaguar Land Rover from Ford in 2008.
The deal makes Iveco an indirect subsidiary of Tata Motors. Iveco reported revenues of Rs 1,42,471 crore and employs around 33,000 people across 16 industrial sites and 22 research and development centers. In a joint statement, Tata Motors confirmed that TML CV Holdings B.V., a wholly owned subsidiary, acquired 238,157,212 common shares of Iveco, representing approximately 89.42% of its common share capital, excluding treasury shares.
The acceptance period for Tata Motors’ voluntary cash tender offer will reopen for five trading days from November 2 to November 6, 2026. Shareholders will have another opportunity to tender their shares during this period, with settlement scheduled for November 13. Tata Motors initially offered 14.10 euros per share before increasing the offer to 14.40 euros, including dividends, on October 9.
As part of the acquisition, N Chandrasekaran, chairman of Tata Sons, has been appointed chairperson and senior non-executive director of Iveco. Olof Persson will continue as CEO. Tata Motors executives P B Balaji and Girish Wagh have joined the board as non-independent, non-executive directors, while Guenter Butschek and Charles Nichols have been appointed as independent, non-executive directors.
Iveco has restructured its board committees, amended its corporate governance documents, and repurchased all special voting shares. Further details regarding the next steps following the offer, including potential voluntary purchase procedures and other processes, will be communicated in due course. Tata Motors announced plans in 2025 to acquire Iveco, excluding its defense business, in a deal valued at around 3.8 billion euros.
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