Tata Motors of India has agreed to acquire the core commercial vehicles division of Italy's Iveco Group for 3.8 billion euros. The acquisition will be executed through a voluntary public tender offer, as confirmed by both companies. Tata Motors plans to fund the deal by raising approximately 3.8 billion euros, with about one-third coming from equity, including a targeted 1 billion euros equity raise and stake sale, and the remainder through debt financing. Concurrently, the defense business of Iveco will be sold separately to Italian aerospace and defense company Leonardo for 1.7 billion euros. Tata Motors aims to leverage the acquisition to expand its presence in Latin America and has indicated plans to divest the defense unit ahead of the tender offer. The deal marks a strategic move for Tata Motors, reflecting lessons learned from its previous mergers and acquisitions.