Bosch Ltd. to Form Joint Venture with Tata Autocomp Systems for E-Axle and Electric Motor Production
Bosch Limited announced on March 18, 2026, that its Board of Directors has approved a joint venture agreement with Tata Autocomp Systems Limited. The agreement will establish a joint venture company ('JVCo') in India for the manufacture, sale, and after-sales service of e-axles, electric traction motors, and other related products.The JVCo will be incorporated as a Private Limited Company, with both Bosch Limited and Tata Autocomp Systems Limited holding a 50% stake in the paid-up share capital. The initial paid-up share capital will be INR 10,00,000, with both companies contributing equally. The proposed total equity share paid-up capital for the JVCo is up to INR 94,00,00,000.
Key terms of the agreement include a five-year lock-in period for share transfers, with exceptions for transfers to non-competing affiliates. Transfers to competitors after the lock-in period will require the consent of the other shareholder. The JV Board will consist of six directors, with three directors nominated by each company.
According to the agreement, Bosch will provide engineering and development support, while Tata Autocomp will manage operations, including procurement and administration.
The transaction does not currently constitute a related party transaction for Bosch Limited. However, following the subscription to the share capital, the JVCo will become an associate company and a related party to Bosch. The joint venture agreement will be executed on March 23, 2026.
| Sr No. | Details of events that need to be provided | Information of such events(s) |
|---|---|---|
| 1 | Name of the party with whom the agreement is entered into | Tata Autocomp Systems Limited |
| 2 | Purpose of entering into the agreement | To form a joint venture company in India in the ratio of 50:50 ('JV Company') for manufacture, sale, and after-sales service of e-axles and electric traction motors and any other Products that the JV shall decide from time to time. |
| 3 | Shareholding, if any, in the entity with whom the agreement is executed | Bosch Limited and Tata Autocomp Systems Limited will each subscribe to and hold 50% of the share capital. |
| 6. | Whether the transaction would fall within Related Party Transactions? If yes, whether the same is done at 'arm's length'? | The subscription to the share capital of the Joint Venture Company does not fall within the purview of Related Party Transaction for the Company. Post subscription by the Company, the Joint Venture Company will become an Associate Company of the Company and will be considered to be a Related Party of the Company. |
| 7 | In case of issuance of shares to the parties, details of issue price and the class of shares issued. | The proposed equity share paid-up capital of JV shall be up to INR 94,00,00,000(Rupees Ninety Four Crores Only). Based on the funding requirements, both the Companies will contribute in equal proportion of 50% each The initial paid-up share capital shall be INR 10,00,000 (Rupees Ten Lakhs Only), which shall be contributed in equal proportion of 50% each |
| 8. | Any other disclosures related to such agreements, viz., details of nominee on the Board of Directors of the listed entity, potential conflict of interest arising out of such agreements, etc. | Board Representation: Bosch is entitled to nominate three (3) directors to the board of the Joint Venture Company. Conflict of Interest: No conflict of interest has been identified or arises from the execution of the Joint Venture Agreement. |
| Sr No. | Particulars | Details |
|---|---|---|
| a. | Name of the entity(ies) with whom agreement/ JV is signed | Bosch Limited and Tata Autocomp Systems Limited |
| e. | Scope of business operation of agreement/ JV | JV Company formed for manufacture, sale, and after-sales service of e-axles and electric traction motors. Bosch will support with engineering and development, while Tata Autocomp will support in managing the operations including procurement and administration. |
| h. | Whether the acquisition would fall within related party transactions and whether the promoter/ promoter group/ group companies have any interest in the entity being acquired? If yes, nature of interest and details thereof and whether the same is done at "arm's length" | The subscription to the share capital of the Joint Venture Company does not fall within the purview of Related Party Transaction for the Company. Post subscription by the Company, the Joint Venture Company will become an Associate Company of the Company and will be considered to be a Related Party of the Company. |
| i. | Size of the entity(ies) | Bosch Limited turnover (FY2024-25) - INR 18,087 Crores Tata Autocomp Systems Limited turnover (FY 2024-25) INR 3,959 Crores |
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