Tata Motors and Iveco Group began operating as a combined commercial vehicle enterprise Tuesday, presenting a business with substantial scale while the tender offer for Iveco’s remaining shares stays open.
Iveco’s Sept. 4 offer announcement estimated annual sales of about 590,000 vehicles and revenue of roughly €21 billion. The projected revenue mix assigns 46% to Europe, 32% to India, 8% to South America and 14% to the rest of the world.
After the initial settlement Friday, Oct. 30, TML CV Holdings B.V., Tata Motors’ offer vehicle, held 238,157,212 Iveco shares. That equals about 89.42% of Iveco’s common share capital, net of treasury shares.
The companies say the enterprise serves customers in more than 130 countries and has a workforce of over 73,000. Its network includes about 9,300 sales and service locations, alongside 27 production plants and 25 research and development centers.
The businesses cover different vehicle categories. Tata Motors makes commercial vehicles ranging from cargo models under one tonne to 55 tonnes, as well as buses seating 10 to 51 people. Iveco produces light, medium and heavy vehicles and city and intercity buses. FPT supplies powertrains for road and off-road vehicles, marine uses and power generation, according to the companies.
Iveco said its headquarters will remain in Turin, Italy, while its brands, teams and industrial operations keep distinct identities. The company said customer agreements and warranties, ties with dealers and suppliers, after-sales commitments and captive financing solutions will remain in place without change.
In its Sept. 4 offer announcement, Iveco described the businesses as bringing different product lines and limited overlap in their industrial sites and geographic reach. It argued that the larger production base could improve investment efficiency and operating leverage, and said FPT’s powertrain business could benefit from the combination.
The reopened offer period runs through Friday, Nov. 6. Iveco scheduled settlement for shares tendered during the period for Nov. 13 and said it would announce further post-offer steps later.
