Iveco halted limit up on defense unit and truck sales report

Iveco halted limit up on defense unit and truck sales report

Iveco Group NV has halted its plans to sell its defense unit to Leonardo SpA and report first-half earnings, according to sources familiar with the matter. The Italian government's preferred bidder, Leonardo, is in advanced talks to acquire the defense unit, but negotiations could still fall apart [1].

The Rome-based defense company and Iveco, controlled by the billionaire Agnelli family, could reach a broad agreement in the coming weeks if negotiations go smoothly. In parallel, Exor NV, the Agnelli family's investment vehicle, is in advanced negotiations to sell the rest of the truckmaker to Tata Motors Ltd. [1].

Leonardo bid about €1.6 billion ($1.9 billion) including debt, trailing rival proposals from KNDS NV and the Czechoslovak Group. However, the bid was high enough to improve the chances of a deal with the Italian-German partners [1].

The Italian government's preferred buyer for the defense unit is Leonardo, which is bidding with joint venture partner Rheinmetall AG. A sale to the only Italian bidder would also help secure Rome's backing for the separate deal with Tata [1].

Iveco is still holding open the option of spinning off the defense business, which builds specialized vehicles for defense and civil protection. The company is scheduled to report first-half earnings next week [1].

Representatives for Iveco, Exor, and the Italian government declined to comment. A spokesperson for Tata couldn’t immediately provide comment outside of regular business hours [1].

The Italian government is closely monitoring the potential sale of truck-maker Iveco, with Industry Minister Adolfo Urso stating that the government supports quality foreign investment as long as technology, production, and jobs are protected [1].

References:
[1] https://www.bloomberg.com/news/articles/2025-07-25/iveco-defense-talks-with-leonardo-advance-pave-way-on-tata-deal