Tata Motors Ltd has announced an increase in its offer price to acquire the Italian truck manufacturer Iveco Group NV by €0.30 per share, bringing it to €14.40 per share. This increase was attributed to delays in the approval process.
Previously, in 2025, Tata Motors announced plans to acquire Iveco, excluding its defense business, for €3.8 billion (equivalent to nearly 38,240 crore rupees) through TML CV Holdings Pte Ltd. The initial offer from the major commercial vehicle manufacturer was €14.10 per share, valuing the deal at €3.82 billion.
Tata Motors launched a voluntary tender offer for all outstanding ordinary shares of Iveco in September. The application period has been extended from September 7 to October 26, 2026, and Iveco Group shareholders must vote on the relevant resolutions at the extraordinary general meeting on October 16.
The Board of Directors of Iveco Group unanimously supported the deal and recommended that shareholders submit their shares and vote for the initial offer.
Although Tata Motors noted that the previous price already represented a full and fair valuation of Iveco, the company stated on Friday that it is increasing the price due to the slowdown in the approval process. In a stock exchange report on Friday evening, Tata Motors stated: 'Nevertheless, the Bidder [Tata Motors] has decided to increase the price due to a minor delay in completing the offer, caused by the preliminary authorization process taking longer than anticipated.'
The company specified that the revised offer price represents a premium of 33.47 percent over the price of Iveco shares on July 17, 2025, which was the last trading day before the potential acquisition news from Tata Motors emerged. Furthermore, this constitutes a premium of 6.77 percent over the price of Iveco shares on July 29, 2025, the last trading day before the takeover announcement.
If all 271.2 million ordinary shares of Iveco are tendered, the revised deal value will reach €3.91 billion. Tata Motors will finance the additional payment through a credit agreement of €85 million with MUFG Bank Ltd, GIFT Branch. Tata Motors emphasized that this revised offer will not be increased further.