Tata Motors Takes Over Iveco in 89% Deal as Q3 Profit Falls
The short answer
Tata Motors has taken control of Iveco Group, the European truck and bus maker. Tata now owns about 89% of Iveco after paying 14.40 euros per share in cash. At the same time, Iveco reported a weak third quarter, with profit falling sharply even though sales rose slightly.
What happened
Tata Motors, the Indian car and truck maker, completed the first settlement of its takeover offer for Iveco on October 30, 2026. It bought 238,157,212 Iveco shares, equal to about 89.42% of the company’s common shares. Iveco is now part of Tata Motors. The shares bought in this first round cost about 3.43 billion euros in total.
Shareholders who had not yet accepted the offer got a second chance. The acceptance period reopened from November 2 to November 6, 2026, at the same price of 14.40 euros per share, and those shares will be settled on November 13, 2026.
Iveco also published its third quarter results on November 3, 2026. Sales rose 1.4% from a year earlier to 3.158 billion euros. But adjusted operating profit, which the company calls adjusted EBIT, fell to 30 million euros from 111 million euros a year earlier. The profit margin dropped to 0.9% from 3.6%. Adjusted net income turned into a loss of 32 million euros, compared with income of 40 million euros in the same quarter last year.
The truck business grew, with revenue up 4.5% to 2.099 billion euros, but its profit also fell. Iveco said quality work, product mix, pricing and inflation weighed on results. Management expects profit to recover in the fourth quarter and forecasts solid cash flow from its industrial business in the final quarter of the year. The results cover continuing operations only, so they exclude the defence business that Iveco transferred to Leonardo in March 2026. Tata Motors and Iveco announced the takeover deal in July 2025, and the two companies confirmed the completion in a joint release carried by GlobeNewswire.
Why it matters for beginners
A takeover changes who owns a company. When one company buys almost 90% of another, the buyer controls the decisions, from strategy to the board. For Iveco shareholders, the offer gave them a fixed cash price of 14.40 euros per share, so they did not have to wait for the share price to rise on its own.
The results also show a useful lesson. Sales can rise while profit falls. Iveco sold more, but higher costs and a weaker mix of products ate into its earnings. When you look at a company, check profit as well as sales, because profit is what remains after costs.
A takeover can also change what you own. If you hold shares in a company that gets bought, it helps to keep track of your holdings in one place. Our guide to portfolio analysis tools for beginners explains how to see your whole picture, including your mix of stocks, bonds and cash.
What to watch next
First, watch the reopened offer. Shares tendered between November 2 and November 6 will be settled on November 13, 2026, which will lift Tata’s stake further. Second, watch Iveco’s fourth quarter results to see whether profit recovers as management expects. Third, watch how Tata combines Iveco with its own truck business, since the benefits of the deal will show up in costs, sales and new products over time.
FAQ
What is Iveco?
Iveco Group is a European maker of trucks, buses and commercial vehicles, based in Turin, Italy and Amsterdam, the Netherlands.
How much of Iveco does Tata Motors own now?
About 89.42% of Iveco’s common shares, after the first settlement on October 30, 2026.
What price did Tata Motors pay?
14.40 euros per share in cash.
Did Iveco make a profit in the third quarter?
No. Adjusted net income was a loss of 32 million euros, compared with income of 40 million euros a year earlier, even though revenue rose 1.4% to 3.158 billion euros.
When will the remaining shareholders be paid?
Shares tendered in the reopened period from November 2 to November 6, 2026 will be settled on November 13, 2026.
Sources
Tata Motors and Iveco Group, joint press release on completion of the tender offer settlement, October 30, 2026, via GlobeNewswire: https://in.tradingview.com/news/globenewswire:fa5ce427d094b:0-tata-motors-completes-initial-settlement-of-recommended-tender-offer-for-iveco-group-iveco-group-has-now-become-part-of-tata-motors-subsequent-changes-are-announced/
Iveco Group, 2026 third quarter results press release, November 3, 2026, via GlobeNewswire: https://www.tradingview.com/news/globenewswire:b7d242d68094b:0-iveco-group-2026-third-quarter-results/
This article is for general information and education only. It is not legal or financial advice.
