Tata Motors is reportedly in advanced talks to acquire Italy’s truck manufacturing company Iveco for $4.5 billion (around ₹39,245 crore). Iveco Group has confirmed that they are in discussions with Tata Motors to sell their commercial truck business.

This will be Tata Motors’ biggest acquisition to date—surpassing its 2008 purchase of Jaguar Land Rover (JLR) for $2.3 billion. Reports suggest that Tata will acquire the 27.1% stake owned by the Agnelli family in Iveco and launch a tender offer for the remaining shareholders.

The deal will significantly strengthen Tata’s commercial vehicle (CV) unit, although Iveco's defense business is excluded from the transaction. While Tata Motors currently earns about 90% of its CV revenue from India, Iveco generates 74% of its revenue from Europe—providing Tata a major global expansion opportunity.

This acquisition would mark a strategic step in Tata's global ambitions, further enhancing its international footprint in the automotive industry.

Stock Market Reactions

Following the news of the deal, Tata Motors' shares declined by over 3% on July 30. On the other hand, Iveco’s shares rose 4.84% and closed higher on July 29, reflecting a positive investor sentiment around the potential deal.