Tata Motors buying Iveco: How will the mammoth deal impact the stock? Know the implications

Tata Motors commercial vehicles business is going global with the acquisition of Italian truck major Iveco. It is a €3.82 billion deal and the combined revenue of the two companies could exceed €21 billion and annual sales exceed 590,000 vehicles.

Kolkata: Tata Motors is proceeding with the acquisition of Italian tuck manufacturer Iveco, which will transform the Indian commercial vehicle leader into a global player. The Tatas have always grabbed opportunity for spreading their business overseas and the acquisition of Jaguar Land Rover and Tetley in England, Daewoo Commercial Vehicle Company in South Korea and Hispano Carrocera  in Spain are prime examples. The acquisition of Italian truck major Iveco, the acquisition of which has been cleared by the regulatory authorities, is the next big step. But any big deal involves arranging big finances to complete the deal and this one is going to cost Tata Motors  €3.82 billion. Let’s have a look at how it could impact the company and its shares.

Revenue, output of the combined entity

Tata Motors will be acquiring Iveco in an all-cash deal. According to reports, Tata Motors Commercial Vehicles and........

© News9Live