Bharat Forge has announced that its wholly-owned step-down subsidiary, JS Auto Cast Foundry India Private Limited (JSA), has successfully secured ₹300 crores in equity investment from PI Opportunities Fund I Scheme II, an affiliate of Premji Invest. The transaction, disclosed through a comprehensive regulatory filing under Regulation 30 of SEBI Listing Regulations on February 2, 2026, marks a significant milestone in the company's growth strategy.

Investment Structure and Regulatory Details

The investment involves a primary equity infusion into JS Auto Cast, with the investor acquiring a substantial ownership position in the casting specialist. The Securities Subscription Agreement and Shareholders Agreement were executed on February 2, 2026, with completion expected by March 31, 2026, subject to closing conditions stipulated in the definitive transaction agreements.

JS Auto Cast Financial Performance

JS Auto Cast has demonstrated strong financial performance, contributing significantly to Bharat Forge's consolidated operations. The subsidiary's robust metrics showcase its growth trajectory and market position as detailed in the regulatory disclosure.

Transaction Terms and Regulatory Compliance

The comprehensive regulatory filing reveals detailed transaction terms and compliance requirements. The agreement includes customary provisions such as non-compete clauses restricting ferrous casting business in India except through JS Auto, transfer restrictions on BFISL shares, structured exit mechanisms, and standard indemnity provisions. The company has confirmed that the investor does not belong to the promoter or group companies, ensuring an arm's length transaction that does not fall within related party transaction requirements.

Strategic Growth Plans and Management Commentary

The capital raised will be strategically deployed across multiple growth initiatives. JS Auto Cast plans to accelerate its expansion by increasing casting capacity and investing in medium casting capabilities. Additionally, the funds will support industry consolidation through targeted acquisitions, positioning the company for enhanced market presence.

Amit Kalyani, Vice Chairman & Joint Managing Director of Bharat Forge, highlighted the subsidiary's impressive performance since its acquisition. He noted that since 2022, JS Auto Cast has delivered excellent financial results with topline, exports, and profitability growing at a CAGR of 17%, 24%, and 25% respectively, while simultaneously enhancing its product mix and customer base.

Investor Profile and Fund Details

PI Opportunities Fund I Scheme II is an Alternative Investment Fund managed by PI Investment Advisory LLP, an affiliate of Premji Invest Group. The fund makes substantial investments in growing Indian companies, with a focus on technology, finance, and consumer sectors, funding the Azim Premji Foundation. The regulatory filing confirms the investor's credentials and investment mandate, reinforcing the strategic nature of this partnership for JS Auto Cast's future growth trajectory.

Bharat Forge Limited has announced a substantial investment of Rs 1,100.45 million in its wholly owned German subsidiary, marking a significant capital infusion to strengthen its overseas operations. The investment disclosure, made under Regulation 30 of SEBI Listing Regulations on January 30, 2026, demonstrates the company's commitment to expanding its global presence through strategic subsidiary investments.

Investment Details

The investment specifics reveal a comprehensive capital strengthening initiative for the German subsidiary:

About Bharat Forge Global Holding GmbH

Bharat Forge Global Holding GmbH (BFGH) serves as the strategic holding company for Bharat Forge's overseas investments. Incorporated on December 15, 2003, and based in Germany, BFGH functions as the central entity managing the parent company's international manufacturing subsidiaries across Germany, Sweden, and France.

The subsidiary's financial performance shows consistent operational activity:

Regulatory and Governance Framework

The investment falls under related party transaction guidelines, with the company ensuring arm's length transaction principles. The governance structure includes key personnel from Bharat Forge on BFGH's Advisory Board, specifically Mr. Amit Kalyani, Mr. Subodh Tandale, and Mr. Dipak Mane. The company has confirmed that requisite regulatory approvals have been obtained for this capital infusion.

Strategic Impact

This investment reinforces Bharat Forge's strategy of strengthening its overseas operations through its established holding company structure. BFGH's role as the central holding entity for manufacturing subsidiaries in key European markets positions it as a crucial component of the company's international expansion framework. The capital infusion supports the subsidiary's operational requirements while maintaining the parent company's complete ownership control.

The disclosure follows previous intimations dated November 14, 2022, and August 8, 2024, regarding investments and guarantees for foreign subsidiaries, indicating a systematic approach to overseas capital deployment. This latest investment demonstrates continued confidence in the European market operations and the strategic value of maintaining strong subsidiary capitalization.