India's Tata Takes Over Italian Truck Maker Iveco
Indian automotive group Tata has acquired Italian commercial vehicle maker Iveco, along with its powertrain unit FPT Industrial. The deal is reported to be worth roughly 4 billion euros.
Indian automotive group Tata has bought Iveco, an Italian commercial vehicle manufacturer. The deal also covers FPT Industrial, the powertrain maker that is part of Iveco. One of Europe's truck producers is therefore passing into Indian ownership.
Scale of the deal
The transaction is reported to be worth about 4 billion euros. Tata will obtain 90% of the shares in Iveco Group, making it the dominant owner of the group that includes both Iveco and FPT Industrial.
What it means for Tata
The acquisition will make Tata the world's fourth-largest commercial vehicle manufacturer. Commercial vehicles are trucks and other vehicles used to carry goods and passengers.
Tata Motors, part of the Tata group, already owns the British luxury brand Jaguar and the luxury off-road vehicle maker Land Rover/Range Rover. After the Iveco purchase, the group's portfolio will span luxury passenger cars as well as commercial vehicles and engines.
The source does not say when the deal is due to close or whether it still needs regulatory approval.
