Iveco Sells Defence Unit to Leonardo, Plans Extraordinary Dividend Ahead of Tata Offer

Iveco Group NV ( (IT:IVG) ) has provided an update.

Iveco Group has completed the sale of its Defence Business, comprising the IDV and ASTRA brands, to Leonardo for approximately 1.6 billion euros, paving the way for the creation of a European land-defense champion with enhanced global competitiveness. The divested unit, previously classified as discontinued operations, moves into a larger defense and security group, positioning the assets to benefit from greater scale and integrated capabilities.

Net proceeds from the transaction will be returned to shareholders via an extraordinary dividend currently expected between 5.7 and 5.8 euros per share, subject to final approval by Iveco’s Board and an Extraordinary General Meeting on March 25, with payment targeted for April 20. The sale also satisfies a key condition for Tata Motors’ voluntary public tender offer for all Iveco Group ordinary shares, making the deal strategically significant for ongoing corporate restructuring and potential change in ownership, while removing the need for a previously considered demerger option.

The most recent analyst rating on (IT:IVG) stock is a Hold with a EUR20.00 price target. To see the full list of analyst forecasts on Iveco Group NV stock, see the IT:IVG Stock Forecast page.

More about Iveco Group NV

Iveco Group N.V. is a global automotive player with deep Italian roots, focusing on sustainable mobility solutions and customer-oriented technologies across commercial and specialty vehicles. Through brands including IVECO, FPT, IVECO BUS, HEULIEZ and IVECO CAPITAL, the Group serves truck, bus, propulsion, and financial services markets, operating 16 industrial sites and 22 R&D centers with about 33,000 employees worldwide.

Average Trading Volume: 1,014,941

Technical Sentiment Signal: Buy

Current Market Cap: €6.6B

Learn more about IVG stock on TipRanks’ Stock Analysis page.