Tata Motors has completed the initial settlement of its tender offer for Italian commercial vehicle maker Iveco Group, acquiring an 89.42 per cent stake and bringing the European company under its control, while the process of buying out remaining minority shareholders continues.
The acquisition was completed through Tata Motors’ indirect wholly owned subsidiary, TML CV Holdings B.V., and covered 238.16 million Iveco shares at €14.40 apiece, the company said in a regulatory filing. Iveco is now an indirect subsidiary of Tata Motors.
The takeover will affect a commercial vehicle business spanning trucks, buses, powertrains and vehicle financing. Iveco reported revenue of €13.43 billion in calendar year 2025, employs around 33,000 people and operates 16 industrial sites and 22 research and development centres. Its operations give Tata Motors a larger presence in European and other international commercial vehicle markets, alongside its existing operations in India and emerging markets.
The initial settlement comes after opposition from some Iveco minority shareholders over the valuation. Activist investor Petrus Advisers had questioned the offer price, arguing that it undervalued the company. Tata Motors increased its offer from €14.10 to €14.40 per share earlier this month.
Around 10.58 per cent of Iveco’s common share capital, excluding treasury shares, remains outside Tata Motors’ ownership. Iveco will reopen the tender offer for five trading days from November 2 to November 6. Settlement for shares tendered during this additional window is scheduled for November 13. Tata Motors has not announced a further revision to the offer price.
The company said further details of the post-offer process would be announced in due course. These may include a voluntary purchase procedure, a Dutch legal squeeze-out, or a post-offer demerger and liquidation, according to the regulatory filing.
The completion of the initial settlement has also led to changes in Iveco’s board and corporate governance structure. Tata Sons Chairman N Chandrasekaran has been appointed Iveco’s chairperson as a non-executive director. Tata Motors Group Chief Financial Officer P B Balaji and Tata Motors Executive Director Girish Wagh have joined Iveco’s board as non-executive directors.
Olof Persson will continue as Iveco’s chief executive officer. The six-member board also includes independent directors Guenter Butschek and Charles Nichols. Iveco said all outstanding special voting shares had been repurchased for no consideration, leaving no such shares outstanding after the takeover.
For cities, the transaction brings together businesses supplying the vehicles and systems that support freight movement, public buses and commercial mobility. The immediate impact will depend on how the combined group manages its product portfolios, manufacturing footprint and international operations. Tata Motors has said the businesses have complementary product portfolios and limited overlap in geographical and industrial operations.
Iveco has also brought forward the announcement of its third-quarter financial results to November 3 from November 5. The next tender window will run from November 2 to November 6, with settlement scheduled for November 13.
