Iveco’s owners, the Agnelli family, are in talks over its sale - with Indian conglomerate Tata Motors a contender, according to a report by news agency Reuters.
If the sale goes ahead it will mark a major expansion for Tata Motors in Europe.
The company, which is part of the Tata Group, already owns Jaguar Land Rover, and has manufacturing facilities in the UK and in Europe.
The Reuters report said three sources had confirmed the talks, with two of the sources citing Tata Motors as the interested party.
The sources said Tata Motors has approached Exor, the group’s investment company, over its controlling stake in Iveco Group.
If the deal is sealed it will not include Iveco’s IDV defence business.
Exor, Iveco and Tata Motors have yet to confirm or deny the claims, Reuters added.
Italian trade unions are calling on the government to intervene, following the Reuters report.
In 2021 the Italian government blocked an offer for Iveco from Chinese truck manufacturer FAW.
Iveco is already planning to either sell or spin off its defence business by the end of 2025 and has already received offers from potential buyers.
A third source told Reuters that, as the separation process of the defence unit was progressing, Exor had started talks with more than one non-European counterpart over a possible sale.
Exor owns a 27.1% stake in Iveco, with 43.1% of voting rights in the company, which has a market capitalisation of around €4.2bn (£3.64bn).
Iveco employs around 36,000 people, including 14,000 in Italy.
