BERLIN, March 11 (Reuters) - Rheinmetall's handshake agreement to buy Iveco's military trucks operation from Italy's Leonardo is facing a delay, said the CEO of the German defence company, Armin
Rheinmetall's Acquisition of Iveco Military Trucks Delayed Pending Leonardo Closure
Overview of Rheinmetall, Iveco, and Leonardo Deal Progress
Background of the Acquisition Agreements
BERLIN, March 11 (Reuters) - Rheinmetall's handshake agreement to buy Iveco's military trucks operation from Italy's Leonardo is facing a delay, said the CEO of the German defence company, Armin Papperger, in an analyst call on Wednesday.
Delays in the Transaction Process
"The first deal between Iveco and Leonardo had a delay, and then our deal has also a delay," said Papperger, adding that Rheinmetall was in touch with Leonardo weekly on the subject.
Leonardo's Acquisition of Iveco's IDV Defence Unit
State-controlled Leonardo agreed last year to buy Iveco's IDV defence unit, a deal that cleared the way for India's Tata Motors to buy the rest of Iveco in a deal valued at 3.8 billion euros ($4.40 billion).
Leonardo CEO Roberto Cingolani had confirmed in February that the Italian firm's defence transaction with Iveco would be completed in the first quarter of 2026.
Impact on Rheinmetall's Timeline
A Rheinmetall spokesperson clarified that the German firm had expected Leonardo to hand over the military trucks operation by the end of March.
However, because Leonardo has not yet closed its deal with Iveco, which would allow negotiations to begin with Rheinmetall, the German company has had to wait, the spokesperson added.
"From Rheinmetall's perspective, there's been a delay."
Financial Details and Editorial Information
($1 = 0.8639 euros)
(Writing by Miranda Murray; editing by Matthias Williams and Madeline Chambers)
