Bajaj Auto completes ₹5,632.8 crore share buyback

Bajaj Auto Limited has successfully completed the buyback of 46,94,000 fully paid-up equity shares at a price of ₹12,000 per share, aggregating to ₹5,632,80,00,000. The offer, which was open from July 1, 2026, to July 7, 2026, was executed through the tender offer route on the BSE Limited and National Stock Exchange of India Limited. The buyback size constituted 16.93% and 15.59% of the aggregate of the fully paid-up equity share capital and free reserves as per the standalone and consolidated financial statements as on March 31, 2026, respectively.

The tender offer witnessed significant interest, with the total number of valid shares tendered reaching 2,21,36,834, approximately 4.72 times the maximum number of shares proposed to be bought back. KFin Technologies Limited, the Registrar to the Buyback, considered 4,23,046 valid bids. The acceptance ratio varied across categories, with the General Category seeing a response of 519.91% and the Reserved Category for Small Shareholders recording 197.86%.

Details of the Buyback

The settlement of accepted bids was completed by the Clearing Corporation on July 14, 2026. Funds were paid out directly to eligible shareholders, net of tax deducted at source. Equity shares held in dematerialised form that were accepted were transferred to the Company Demat Account on the same date. The extinguishment of the 46,94,000 accepted equity shares, comprising 46,93,979 dematerialised shares and 21 physical shares, is currently under process and will be completed on or before July 23, 2026.

Category of Eligible Shareholders	No. of Equity Shares reserved	No. of valid bids	Total no. of Equity Shares validly tendered	Response (%)
Reserved Category for Small Shareholders	7,04,100	4,03,083	13,93,113	197.86%
General Category for all other Eligible Shareholders	39,89,900	19,963	2,07,43,721	519.91%
Total	46,94,000	4,23,046	2,21,36,834	471.60%

Capital Structure Changes

Following the completion of the buyback, the company's issued, subscribed, and fully paid-up share capital has reduced to 27,48,03,838 equity shares from 27,94,97,838 equity shares. The post-buyback shareholding pattern indicates a shift in promoter holding to 44.05%, down from 55.01% prior to the buyback.

Particulars	Pre-Buyback (No. of shares)	Post-Buyback (No. of shares)
Authorised Share Capital	30,00,00,000	30,00,00,000
Issued, Subscribed and Fully Paid-Up Share Capital	27,94,97,838	27,48,03,838

Major Shareholder Participation

Several institutional investors participated in the buyback, with the Life Insurance Corporation of India (LIC) tendering the highest number of shares. Other significant participants included HDFC Mutual Fund, NPS Trust, and Government Pension Fund Global.

Name of the Eligible Shareholder	No. of Equity Shares accepted	% of total Equity Shares bought back
Life Insurance Corporation of India (Multiple Schemes)	4,41,639	9.41%
HDFC Mutual Fund (Multiple Schemes)	3,69,631	7.87%
NPS Trust (Multiple Schemes)	2,91,432	6.21%
Government Pension Fund Global	2,42,805	5.17%
ICICI Prudential Mutual Fund (Multiple Schemes)	1,95,766	4.17%

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+5.72%	+8.19%	+7.92%	+19.82%	+30.34%	+185.44%

Bajaj Mobility AG, a step-down subsidiary of Bajaj Auto , reported preliminary revenue of EUR 370 mio. for the second quarter of 2026, a substantial rise compared to EUR 231 mio. in the same period of the previous year. The company, which sells motorcycles under the KTM, Husqvarna Motorcycles, and GASGAS brands outside the Indian market, also disclosed a significant turnaround in profitability with an expected EBITDA margin of around 8.7% for Q2 2026, contrasting sharply with the negative 55.6% margin recorded in Q2 2025 after restructuring gains.

Motorcycle sales for the quarter reached 48,672 units, representing a 71% increase compared to the 28,471 units sold in Q2 2025. This sales volume also reflects a 21% increase compared to the first quarter of 2026. For the first half of 2026, total sales outside the Indian market stood at 89,004 units. Additionally, 58,568 motorcycles were sold through the strategic partner Bajaj Auto, up from 34,950 in the previous year, bringing the total worldwide sales for the first half of 2026 to 147,572 units, an 81% increase from the 81,336 units sold in the same period of 2025.

Revenue in the motorcycles segment grew from EUR 330 mio. in the first quarter of 2026 to EUR 370 mio. in the second quarter. This represents an 80% increase compared to Q2 2025 revenue of EUR 205 mio. Cumulatively, the motorcycle segment generated revenue of approximately EUR 700 mio. in the first half of 2026, compared to EUR 373 mio. in the first half of 2025.

Financial Performance

The company expects an EBITDA margin of around 5.4% for the first half of 2026, a significant recovery from the negative 43.3% margin reported in the first half of 2025. The reported margins for both periods are calculated after the deduction of restructuring gains.