Tata Motors Completes Initial Settlement of Iveco Takeover, Acquires 89.42% Stake

Tata Motors has acquired an 89.42 per cent stake in Italian commercial vehicle maker Iveco for nearly 3.43 billion euros following the initial settlement of its cash tender offer, marking its biggest acquisition since buying Jaguar Land Rover in 2008.

TML CV Holdings B.V., an indirect wholly owned subsidiary of Tata Motors, acquired 238,157,212 common shares of Iveco, making the European company an indirect subsidiary of the Indian automaker, the companies said in a joint statement on Friday.

Iveco, headquartered in Amsterdam, reported revenue of Rs 1,42,471 crore and employs around 33,000 people. It operates 16 industrial sites and 22 research and development centres, with businesses spanning trucks, buses, powertrain technologies and financial services.

Under the voluntary tender offer, Tata Motors offered EUR 14.40 per share in cash, after increasing its initial bid of EUR 14.10 by EUR 0.30 on October 9. The acceptance period will reopen from November 2 to November 6, giving shareholders another opportunity to tender their shares. Settlement for shares tendered during this period is scheduled for November 13.

Tata Sons Chairman N Chandrasekaran has been appointed Chairperson and Senior Non-Executive Director of Iveco, while Olof Persson will continue as Chief Executive Officer. Tata Motors executives P B Balaji and Girish Wagh have joined the board as non-independent, non-executive directors. Guenter Butschek and Charles Nichols have been appointed independent non-executive directors.

Tata Motors announced plans to acquire Iveco in 2025 in a deal valued at around EUR 3.8 billion, excluding the Italian company's defence business. The transaction aims to strengthen Tata Motors' global commercial vehicle presence by expanding its international operations and product portfolio.