The defense sector has gained relevance in Europe since Russia’s invasion of Ukraine in 2022, leading to an industrial consolidation focused on boosting the production of armaments and military vehicles. In this context, Iveco decided to divest its Defense unit, allowing IDV and Astra to join a leading European consortium in the defense and security sectors.
The agreement, initially announced in July 2025, involved a deal worth approximately 1.7 billion euros, and the final price of 1.6 billion remains subject to adjustments. According to the companies involved, the integration of the IDV and Astra brands provides Leonardo with scale and strategic capabilities to maintain competitiveness in global scenarios. The net proceeds from the sale will be fully distributed to the shareholders of the Iveco Group in the form of an extraordinary dividend, scheduled for April 20, with an estimated value per share between 5.7 and 5.8 euros.
Olof Persson, CEO of the Iveco Group, emphasized that the transaction will allow the IDV and Astra brands to join a group with accumulated capabilities to compete globally, highlighting the team’s efforts in response to the growing demand for military vehicles. The sale occurs at a time of unprecedented military investment in Europe, driven by geopolitical instability and the need for strategic autonomy. This operation creates an industrial giant capable of competing with major North American and Asian groups.
