Tata Motors to Acquire Iveco for $4.5 Billion

Tata Motors has announced an all-cash acquisition of Italian commercial vehicle manufacturer Iveco Group for $4.4–$4.5 billion, set to close between April and June 2026. The deal excludes Iveco's defense business, which is being sold separately to Leonardo. Tata has secured bridge financing for the acquisition from Morgan Stanley and MUFG and plans to repay the debt within four years. The acquisition will strengthen Tata's global presence, especially in Europe, Latin America, and emerging markets, and provide access to advanced electrification technologies. Anticipated annual combined revenues will exceed $25 billion, although investors are wary of Tata's increased debt and past global deals. Italian unions have expressed concerns about potential job cuts, prompting government oversight, but officials have welcomed the investment as positive for Italy's industrial sector.