Bharat Forge on Thursday's trading session witnessed selling pressure despite the company's German subsidiaries reached a settlement with Germany's national competition regulator – Bundeskartellamt (Federal Cartel Office) (“FCO”) in connection with two separate proceedings.
These Germany-based subsidiaries are - Bharat Forge Aluminiumtechnik GmbH, Bharat Forge CDP GmbH, and Bharat Forge Global Holding GmbH.
FCO had initiated an investigation against several companies in Germany between 2004 and 2008. Bharat Forge's German subsidiaries were among many such companies.
"Our German subsidiaries had been under confidentiality obligations under applicable German laws with respect to these proceedings," Bharat Forge stated.
In the said matter, Bharat Forge states that the German Subsidiaries have reached a settlement in an aggregate amount of Euro 32 million to be paid over the next 5 years. The terms of the settlement are confidential under the applicable laws.
Bharat Forge states that the final settlement for Bharat Forge Aluminiumtechnik GmbH has been signed. However, the settlement for Bharat Forge CDP GmbH and Bharat Forge Global Holding GmbH is in the final stage and expected to be signed early next year.
At around 1.42 pm, Bharat Forge was trading at Rs526.60 per piece down by Rs12.25 or 2.27% on Sensex.