Tata Motors reportedly nears $4.5 billion Iveco deal, set to be its largest-ever automotive acquisition
The deal faces potential hurdles, including scrutiny under Italy's "golden power" rules due to Iveco's involvement in defense manufacturing. The company has already been in advanced talks to divest its defense business, a move that could clear the path for the acquisition.
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Tata Motors is reportedly nearing a deal to acquire Italian truck manufacturer Iveco from its majority shareholder, the Agnelli family, for an estimated $4.5 billion. The potential transaction, first reported by The Economic Times, would mark a significant expansion for the Indian automotive giant, following its previous high-profile purchase of Jaguar Land Rover (JLR) in 2008 for $2.3 billion.
The boards of both companies are reportedly meeting today to greenlight the deal, with an official announcement possibly coming later in the day. The acquisition would see Tata Motors acquire the Turin-based firm, which specializes in trucks, buses, and engines and has a current market capitalization of roughly $4.9 billion.
The deal faces potential hurdles, including scrutiny under Italy's "golden power" rules due to Iveco's involvement in defense manufacturing. The company has already been in advanced talks to divest its defense business, a move that could clear the path for the acquisition.
