Tata Motors has completed the initial settlement of its takeover of Iveco Group, bringing the Italian commercial vehicle manufacturer under Indian ownership and installing a new board of directors.
The deal, confirmed on Friday 30 October, gives Tata Motors an 89.42% stake in Iveco following the settlement of its €14.40-per-share cash offer.
The acquisition was completed through TML CV Holdings BV, a wholly owned subsidiary of Tata Motors, which now holds 238,157,212 Iveco shares. The transaction represents a major change in the ownership of one of Europe’s established truck and commercial vehicle manufacturers.
Natarajan Chandrasekaran, chairman of Tata Sons, has been appointed chairman of Iveco Group, while Tata Motors executives PB Balaji and Girish Wagh have joined the company’s board.
Former Tata Motors chief executive Guenter Butschek and Charles Nichols have also been appointed independent non-executive directors. Iveco chief executive Olof Persson remains in place as the board’s sole executive director, providing continuity in the company’s management.
The appointments give Tata significant representation at board level while retaining Persson’s leadership of Iveco’s day-to-day operations.
