Bosch India (BOSCHLTD) investor relations material

Deal rationale and strategic fit

• Acquisition consolidates and expands mobility solutions, integrating safety, braking, and vehicle motion systems to strengthen the portfolio and market position in India.

• Enables transition from component sales to platform-level, powertrain-agnostic solutions, supporting long-term value creation and competitive advantage.

• Aligns with automotive megatrends such as electrification, automation, and personalization, and increases content per vehicle and wallet share per OEM.

• Supports scalable solutions for all vehicle segments, from two-wheelers to automated vehicles, leveraging local R&D and manufacturing.

• Realignment positions the company as a preferred mobility partner for OEMs and reinforces its vision to be a leading technology provider in India.

Financial terms and conditions

• Purchase consideration is up to INR 9,068.70 crores (INR 90,687mn), valuing the target at 10.6x EV/EBITDA FY 2025.

• Funded primarily through existing funds and internal accruals, with a small equity component issued to promoter group entities.

• Pro forma EPS accretion expected at ~5%, with FY25 EPS increasing from INR 683 to INR 720.

• Consolidated revenue to increase by 22% to INR 22,000 crores on a pro forma FY 2025 basis.

• Commitment to a transparent dividend distribution of 55-85% of PAT.

Synergies and expected cost savings

• No explicit synergies included in the business case due to already harmonized processes, but integration may identify further operational synergies.

• Combination expected to drive accretion in growth and margins, with higher pro forma EBITDA margin (13.9% vs. 12.8%).

• Enhanced cash generation profile enables potential future acquisitions and broader offerings across the mobility tech stack.