MILAN (Reuters) -The Italian government is closely following news about a possible sale of truckmaker Iveco Group to India’s Tata Motors, Industry Minister Adolfo Urso told a parliamentary hearing on Wednesday.
Urso did not, however, mention the possible use of the government’s so-called golden power legislation, which allows it to set conditions on deals affecting companies deemed of national strategic interest.
Tata Motors has approached the Agnelli family, which controls Iveco through its investment company EXOR, over a possible sale of the Italian truck and bus maker, Reuters reported last week.
Since last Friday, when Reuters published the news, Iveco shares have risen over 25%.
A possible Iveco sale would not include its IDV defence business, which the group is currently separating, either through a spin-off or a sale.
Urso said Rome was well aware of how important the commercial and industrial vehicle industry – and Iveco in particular – is for the Italian economy and employment.
“Our policy line is clear. We strongly support foreign investments of quality, as long as our technology, production and jobs are preserved,” Urso said, adding the government had agreed to a request by unions for a meeting on Iveco “to monitor any developments and, if necessary, prepare appropriate actions”.
(Reporting by Giulio PiovaccariEditing by Mark Potter)
