Bharat Forge Limited has announced a strategic investment in Fortuna Engineering Private Limited, entering into definitive agreements to acquire a 30% stake for ₹129.60 crore. The transaction reflects the company’s continued focus on strengthening its machining capabilities and enhancing forward integration across its core business segments.
The acquisition will be carried out through a Share Purchase Agreement and a Shareholders’ Agreement, with the initial tranche covering up to 30% equity participation. Bharat Forge also retains the option to increase its stake to a majority holding of over 50% in future phases, subject to certain conditions and regulatory approvals.
Fortuna Engineering, incorporated in 1989 and based in Nashik, operates in the precision machining space, manufacturing critical automotive components such as connecting rods, camshafts, including FIP camshafts, and fixtures used across commercial vehicles, passenger vehicles, and off-highway applications. The company has built a stable operational base over the years, with revenue reported at ₹322.50 crore in FY25, compared to ₹329.52 crore in FY24 and ₹342.93 crore in FY23. Its net worth has also strengthened to ₹173.15 crore in FY25, highlighting steady financial performance.
The deal will be executed through cash consideration and is expected to be completed in multiple tranches. Completion remains contingent upon the fulfilment of certain conditions precedent and approvals that may be required from regulatory authorities, particularly in the event of a controlling stake acquisition. The company has clarified that the transaction does not fall under related-party transactions and that there is no promoter group involvement in the target entity.