Tata Motors Limited has successfully completed its €3.91 billion takeover of Italian truckmaker Iveco Group N.V. on October 26, 2026, after securing decisive shareholder backing. According to provisional results from BNP Paribas, 238.157 million common shares representing approximately 87.81% of Iveco Group's common share capital were tendered during the offer period. The acquisition, which commenced on September 7, 2026, was conducted under the regulatory framework of the Italian Legislative Decree and SEBI Listing Regulations. The offer price was initially set at €14.10 per share cum dividend but was increased by an additional cash component of €0.30 per share, bringing the total to €14.40 per share. The final results are expected to be confirmed before market opening on October 29, 2026.
The immediate next step is settlement, with Tata Motors scheduled to pay shareholders on October 30, 2026, four trading days after the offer closes. The company has announced a five-day reopening period from November 2-6 for shareholders who did not tender their shares, subject to applicable conditions. The 87.81% acceptance rate gives Tata Motors the control needed to proceed with its planned post-offer restructuring and eventual delisting of Iveco. The squeeze-out of remaining minority shareholders is expected to be completed within the next two months, while full business integration is expected to commence by the next quarter.
Cost savings will be an early focus of the integration, with Tata Motors identifying opportunities to use its engineering capabilities and common platforms to reduce product development costs. The company plans to increase sourcing from Eastern Europe and Asia for Iveco, while combining product portfolios and distribution networks. Iveco recorded a 7% decline in revenue in 2025 to €13.4 billion, while profit more than halved to €233 million from €489 million a year earlier. Tata Motors has committed to maintaining Iveco's operating and reporting structure, as well as its headquarters in Turin, while pursuing revenue synergies through combined operations. The acquisition is expected to nearly triple Tata Motors' commercial vehicle revenue from the current ₹77,000 crore to more than ₹2 trillion.
Tata Sons chairman N Chandrasekaran, Tata Motors CV managing director Girish Wagh and Jaguar Land Rover chief executive PB Balaji are among the Tata executives designated to join Iveco's board. Tata Motors has committed to a set of non-financial covenants covering employees, organisation, governance and strategy for two years after settlement, with two independent Iveco board members expected to monitor compliance. These commitments are significant because Italy has imposed conditions under its golden power framework to protect jobs, manufacturing capacity, strategic technology and research. Tata Motors has pledged not to undertake material restructuring or close Iveco plants as a direct consequence of the deal during the protected period.
The combination will make Tata Motors the world's fourth-largest commercial vehicle maker, with the combined business expected to sell more than 540,000 vehicles a year and generate more than $25 billion in revenue. Iveco provides Tata Motors with a strong position in Europe and the No. 3 position in Latin America, while Tata brings stronger positions in India and parts of Africa. The acquisition could nearly triple Tata Motors' commercial vehicle revenue from the current ₹77,000 crore to more than ₹2 trillion, according to experts. Iveco's annual revenue of around €10 billion is expected to significantly increase Tata Motors' commercial vehicle scale, while adding electric buses, electric light commercial vehicles and alternative-fuel technologies to its portfolio. The deal is central to Tata Sons chairman N Chandrasekaran's target of about $100 billion in automotive revenue by FY31.
