Iveco Group NV agreed to break itself up, selling its defense unit to Leonardo SpA and the rest of the Italian truck maker to Tata Motors Ltd in deals totaling about €5.5 billion ($6.3 billion).

Exor ( OTCPK:EXXRF ), the investment company controlled by Italy’s Agnelli family and Iveco’s largest shareholder, has agreed to sell its 27% holding to Tata. Tata plans to make a public offer for the remaining shares, paving the way for Iveco to be delisted from the Milan exchange.

Indian commercial vehicle (CV) market leader Tata Motors plans to raise close to €1 billion through equity — either a rights issue or qualified institutional placement (QIP) — as well as monetise its stake in Tata Capital, to help repay the €3.8 billion (₹ 38,000 crore) bridge loan it will use to buy Italy’s legacy CV player, Iveco group.