Aurelia Menezes Comments on Tata Motors’ Revised Offer for Iveco

Aurelia Menezes, Partner at King Stubb & Kasiva, has commented in Mint on Tata Motors’ revised offer for Iveco and the challenges posed by the high shareholder acceptance thresholds in the proposed acquisition.

Aurelia noted that Tata Motors’ offer requires 95% acceptance, with the threshold potentially falling to 80% if Iveco shareholders approve the relevant back-end resolution at the extraordinary general meeting scheduled for 16 October. She observed that such a high threshold gives even a small group of shareholders the ability to hold out for a better price, a strategy commonly seen among investment funds and activist investors in European transactions.

She also highlighted the financial implications of a prolonged approval process, explaining that a fixed cash offer loses value in real terms as completion is delayed, while shareholders remain exposed to market risks during the waiting period. Raising the offer price is a recognised way to maintain shareholder support in such circumstances. Aurelia further noted that Tata Motors had indicated that shareholders who had already tendered their shares would automatically receive the revised offer price.

Read the full article here: https://www.livemint.com/companies/tata-motors-iveco-acquisition-deal-status-11791713827262.html 

Last Updated on 14 October, 2026