Bharat Forge Limited completed the merger of its wholly-owned subsidiary Bharat Forge Holding GmbH into Bharat Forge Global Holding GmbH on August 25, 2026. The transaction was entered into the commercial registry under German law, marking the effective date of the consolidation.

The merger involves two entities within the company’s German operations. Bharat Forge Global Holding GmbH served as the acquirer, while Bharat Forge Holding GmbH was the target. Both entities are wholly-owned subsidiaries of the listed Indian firm. The move aims to simplify the legal structure of companies in Germany.

Transaction Details

The merger agreement was dated August 18, 2026. Following the completion, Bharat Forge Aluminiumtechnik GmbH, previously a subsidiary of Bharat Forge Holding GmbH, became a direct subsidiary of Bharat Forge Global Holding GmbH.

The target entity reported nil revenue from operations for the year ended December 31, 2025. The acquiring entity recorded turnover of Euro 6,086,504.36 for the same period. Since the target is a wholly-owned subsidiary of the acquirer, no consideration was paid, and no shares were issued during the process.

Financial and Regulatory Impact

The company stated that the merger has no implication on standalone or consolidated financial statements. It is classified as a related party transaction between direct or indirect wholly-owned subsidiaries but does not attract provisions under the Companies Act, 2013, or Listing Regulations as it does not involve the listed entity directly.

There is no change in the shareholding pattern of Bharat Forge Limited. The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/II/3762/2026 dated January 30, 2026.

Bharat Forge 's defence arm, Kalyani Strategic Systems Limited (KSSL), signed a Strategic Alliance Agreement with Thales Belgium on September 3, 2026. The partnership aims to assemble 70 mm rocket systems in India, targeting the first fully India-produced rocket by early 2027.

Deal highlights

The alliance expands beyond simple assembly to include technology transfer and local production of both unguided and laser-guided variants. The agreement leverages Thales' combat-proven technologies and KSSL's manufacturing capabilities to support domestic requirements and global export opportunities.

Key details of the arrangement are as follows:

Strategic context

The collaboration was announced during the Belgian state visit to India, reinforcing India-Belgium defence cooperation. Thales will contribute its global expertise in 2.75-inch / 70-mm rockets developed in Belgium, while KSSL will utilize its local manufacturing facilities, including an upcoming Energetics facility in Andhra Pradesh.

Neelesh Tungar, CEO of Kalyani Strategic Systems Ltd., stated that the partnership lays the foundation for indigenous production of next-generation rocket systems. Ankur Kanaglekar, Vice-President – India at Thales, noted that the collaboration enhances India's operational readiness and advances its vision of self-reliance in critical defence technologies.

The 70-mm solutions are already in use by the Indian Armed Forces, supporting multi-role mission flexibility across air, land, and maritime domains, including integration with the Advanced Light Helicopter (ALH-WSI) and Light Combat Helicopter (LCH).