Tata Motors raises Iveco takeover offer price to 14.40 euro per share
ADVERTISEMENT
Tata Motors Ltd said it has increased the takeover offer price for Italian truck maker Iveco Group NV by 0.30 euro per share to 14.40 euro per share, citing delay in authorisation process.
In 2025, Tata Motors announced plans to acquire Iveco, excluding its defence business, for 3.8 billion euro (nearly ₹38,240 crore) through TML CV Holdings Pte Ltd.
The commercial vehicle major earlier offered 14.10 euro per share, valuing the transaction at 3.82 billion euro. Tata Motors started an all-cash voluntary tender offer for all outstanding common shares of Iveco in September.
The acceptance period runs from September 7 to October 26, 2026, with Iveco Group shareholders scheduled to vote on related resolutions at an extraordinary general meeting on October 16.
Iveco Group's board of directors unanimously supported the deal and has recommended that shareholders tender their shares and vote in favour of the earlier offer.
While noting that the previous offer price already represented full and fair valuation of Iveco, Tata Motors on Friday said it is increasing the price because approvals are getting delayed.
"Nevertheless, the Offeror [Tata Motors] has resolved to increase the price in consideration of the slight delay in the completion of the offer, due to prior authorisations process taking longer than initially," Tata Motors said in an exchange filing on Friday night.
The company said the revised offer price represents a 33.47% premium over Iveco's share price on July 17, 2025, the last trading day before reports of a potential acquisition by Tata Motors emerged.
It also represents a 6.77% premium over Iveco's share price on July 29, 2025, the last trading day before the acquisition announcement.
If all 271.2 million Iveco common shares are tendered, the revised offer price would value the transaction at 3.91 billion euro. Tata Motors will fund the additional payout through 85 million euro credit facility agreement with MUFG Bank Ltd, GIFT Branch.
Tata Motors also noted that this revised offer will not be increased further.