Bharat Forge infuses ₹160 crore in German arm; launches aerospace facility in Pune

Bharat Forge Ltd said its board has approved an investment of up to €15 million (about ₹160 crore) in its wholly owned German subsidiary Bharat Forge Global Holding GmbH through an equity capital infusion.

The proposed investment, which will be made in the form of equity subscription, is aimed at supporting overseas investments and strengthening the group’s global operations. The company will continue to hold 100% of the equity capital of the subsidiary following the infusion.

Bharat Forge said the transaction qualifies as a related party transaction but will be carried out on an arm’s length basis. Amit Kalyani, Subodh Tandale and Dipak Mane from the company serve on the advisory board of BFGH. Other than this, the company said none of its promoters, promoter group or group companies have any interest in the proposed investment.

BFGH, incorporated on December 15, 2003 and based in Germany, acts as the holding company for overseas investments undertaken by Bharat Forge. The subsidiary does not have operational presence in other countries.

The company disclosed that BFGH recorded a turnover of €6.50 million in the January–December 2024 period, compared with €5.11 million in 2023 and €6.28 million in 2022.

Separately, Bharat Forge’s aerospace division inaugurated a state-of-the-art landing gear components machining facility in Mundhwa, developed in collaboration with Liebherr-Aerospace & Transportation SAS.

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The facility integrates advanced machining centres dedicated to high-precision landing gear components and has received original equipment manufacturer approval. The company said the development places it among the first firms in India operating landing gear component machining capabilities at scale.

The project is expected to strengthen India’s aerospace manufacturing ecosystem and enhance the country’s role in global aerospace supply chains.

Shares of Bharat Forge closed at ₹1,798.30 on the Stock Exchange of India on Wednesday, down 2.38% ahead of the announcement.