Bharat Forge Limited has announced that its wholly-owned subsidiary, BF Industrial Solutions Limited (BFISL), has entered into a definitive agreement to acquire a 90% stake in RS Aerostructures Limited (RS). This strategic move aims to bolster the company’s aerospace capabilities and expand its manufacturing footprint in South India. The deal, valued at up to Rs. 36 million, is expected to be completed within 45 days.
Strategic Expansion into Aerospace
On April 17, 2026, Bharat Forge Limited formalised an agreement through its subsidiary, BFISL, to acquire a majority 90% stake in the Bangalore-based entity, RS Aerostructures Limited. This acquisition is part of a broader strategy to diversify and strengthen the company’s presence in the high-growth aerospace sector.
Key Deal Details
The transaction involves a total investment not exceeding Rs. 36 million, to be settled via cash consideration. RS Aerostructures Limited is a relatively new entity, incorporated on January 14, 2026, with a focus on the assembly and maintenance of aerostructures and components. By integrating this specialized business, Bharat Forge intends to leverage the firm’s specific riveting and assembly expertise to enhance its own product portfolio and customer reach.
Impact and Future Outlook
This acquisition serves as a key pillar for the company’s expansion plans in South India. As a newly established business, RS currently holds a niche position in aerospace structural assembly, which will now function as a step-down subsidiary of Bharat Forge. The company anticipates completing the formal acquisition process within 45 days, with no external regulatory approvals required for the transaction.
Source: BSE