Bharat Forge soars 5% as CCI seeks comments on AAM India deal; BSE, NSE request clarification

Now, the National Stock Exchange (NSE) and BSE have sought clarification from the company in regard to the recent development.

In a regulatory filing, the company said, "The Exchange has sought clarification from Bharat Forge Limited with respect to recent news item captioned Bharat Forge set to acquire AAM India's axle business, CCI invites public comments. The response from the Company is awaited."

Bharat Forge share price

The stock settled 4.89% higher at ₹1,191.5 apiece on the NSE. The company's market capitalisation stands at ₹56,964.26 crore.

Intraday, it climbed as much as 5.8%.

In October 2024, Bharat Forge sought CCI's nod for the buyout of AAM India Manufacturing Corporation, which is involved in the manufacturing and sale of axles for commercial vehicles.

"The Commission is of the prima facie opinion that the proposed combination is likely to have an appreciable adverse effect on competition and, accordingly, has directed the parties, in terms of Section 29(2) of the Competition Act, 2002, to publish details of the combination for bringing the combination to the knowledge or information of the public and persons affected or likely to be affected by such combination," CCI said in a release on Wednesday.

As per Section 29(3) of the Competition Act, 2002, the Commission invited comments, objections, and suggestions from any person adversely affected or likely to be affected by the proposed acquisition.

On the financial front, Bharat Forge reported a 10.11% decline in its revenue from operations to ₹3,475.5 crore in the latest December quarter, compared to ₹3,866.4 crore in the corresponding period last fiscal.

Profit after tax fell 16.39% to ₹212.7 crore in the third quarter of the financial year 2024-25 as against ₹254.4 crore in the year-ago quarter.