Bosch Limited Board Approves ₹9,068.68 Crore Acquisition of Chassis Systems Unit

Bosch Limited has officially announced its board of directors' approval for the acquisition of Bosch Chassis Systems India Private Limited for ₹9,068.68 crores. The board meeting held on April 8, 2026, formalized this strategic transaction that will convert the chassis systems unit into a wholly owned subsidiary of the parent company.

Transaction Structure and Details

The comprehensive acquisition involves both cash consideration and share swap components, demonstrating Bosch's commitment to consolidating its automotive components operations under direct ownership.

Transaction Component: Details Target Company: Bosch Chassis Systems India Private Limited Purchase Consideration: ₹9,068.68 crores Ownership Structure: 100% wholly owned subsidiary Share Issuance: 2,460 equity shares at ₹35,200 each Completion Timeline: On or before July 7, 2026

Financial Performance of Target Company

Bosch Chassis Systems India Private Limited has demonstrated strong financial performance, making it an attractive acquisition target for the parent company.

Financial Metric: FY2024-25 (₹ crores) Turnover: 3,935.90 Profit After Tax: 545.66 Net Worth: 1,410.00 EBITDA Margin: 19.30%

Share Allocation Framework

The board has approved the issuance of 2,460 equity shares with a face value of ₹10 each at a price of ₹35,200 per share to the existing shareholders of the target company. This preferential issue will be allocated to Robert Bosch Investment Nederland B.V. and Robert Bosch LLC, both categorized as promoter group entities.

Allottee Details: Specifications Total Shares: 2,460 equity shares Face Value: ₹10 per share Issue Price: ₹35,200 per share RBNI Allocation: 1,230 shares Robert Bosch LLC Allocation: 1,230 shares

Strategic Business Rationale

The target company operates in the automotive industry, specializing in design, development, manufacturing, and supply of chassis and braking systems. As a tier-1 supplier and market leader in automotive safety systems, it offers diverse active safety solutions including antilock braking systems, electronic stability control, passive safety systems with airbag ECU and sensors, and actuation braking systems for passenger cars, two-wheelers, and commercial vehicles.

Regulatory Compliance and Next Steps

The transaction will proceed through a postal ballot process to seek approval from company members. The acquisition requires no additional governmental or regulatory approvals, streamlining the completion process. Upon successful completion, Bosch Chassis Systems India Private Limited will become both a wholly owned subsidiary and material subsidiary according to SEBI regulations.

Bosch Limited has formally notified stock exchanges about an upcoming Board of Directors meeting scheduled for Wednesday, April 8, 2026. The meeting will address several matters, with a key focus on considering a proposal for equity share issuance through preferential allotment.

Board Meeting Details

The company communicated to BSE Limited and National Stock Exchange of India through a regulatory filing dated April 1, 2026. The board will deliberate on the preferential issue of equity shares in accordance with multiple regulatory frameworks.

Meeting Details: Information Date: Wednesday, April 8, 2026 Primary Agenda: Preferential equity share issuance Regulatory Framework: Companies Act 2013, SEBI LODR, SEBI ICDR Regulations 2018 Additional Process: Postal ballot for member approval

Regulatory Compliance and Approvals

The proposed equity share issuance will require comprehensive approvals before implementation. The company has outlined that the preferential issue must comply with provisions of the Companies Act, 2013, SEBI Listing Regulations, and SEBI ICDR Regulations, 2018, along with other applicable laws.

The board will also consider initiating a postal ballot process to seek approval from company members, as mandated by regulatory requirements. This demonstrates the company's commitment to following proper governance procedures for capital-raising activities.

Trading Window Restrictions

Bosch Limited has maintained its trading window closure as part of insider trading compliance measures. The restriction period spans from April 1, 2026, to May 22, 2026, covering both dates inclusively.

Trading Window Status: Details Closure Period: April 1, 2026 to May 22, 2026 Regulation: SEBI Insider Trading Regulations 2015 Previous Notice: March 25, 2026 Compliance Framework: Code of Conduct for Trading by Insiders

This trading window closure aligns with the company's code of conduct designed to regulate, monitor, and report trading activities by insiders, ensuring compliance with SEBI's Prohibition of Insider Trading Regulations, 2015.

Corporate Communication

The official communication was signed by V. Srinivasan, Company Secretary and Compliance Officer, and submitted to both major stock exchanges. The company has requested the exchanges to take note of the board meeting schedule and associated regulatory compliance measures.

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