Bharat Forge Soars 3% on Landmark Partnership with Compal Electronics!
Bharat Forge’s share price witnessed an intraday gain of nearly 3% on Thursday following the announcement of a significant partnership in the technology manufacturing space. The company revealed that its subsidiary, Kalyani Powertrain, has entered into a strategic collaboration with Taiwan’s Compal Electronics to manufacture servers in India.
In an official statement released on March 6, 2025, Bharat Forge informed stock exchanges about the development, highlighting that the partnership aligns with India’s push for domestic electronics manufacturing. Compal Electronics, a leading global manufacturer of computing and networking products, brings extensive expertise to the venture, while Kalyani Powertrain, a subsidiary of Bharat Forge, will play a key role in localizing server production.
This collaboration marks an important step in strengthening India’s capabilities in high-tech manufacturing, particularly in the data center and cloud computing space. The announcement generated positive investor sentiment, leading to a notable rise in Bharat Forge’s stock price during the trading session.
Bharat Forge announced that it has signed a Memorandum of Understanding (MoU) with Taiwan’s Compal Electronics to collaborate on developing the server business in India. This initiative aims to leverage locally manufactured solutions, aligning with the Indian government’s “Make in India” policy, which promotes domestic manufacturing and technological self-reliance.
As part of the agreement, Compal Electronics will extend its technological expertise to Kalyani Powertrain, a subsidiary of Bharat Forge. The Taiwan-based company will provide critical support in server technology, covering key aspects such as local production, assembly, testing, and overall quality assurance. Additionally, Compal will oversee the final sales process, ensuring that the servers manufactured in India meet global standards.
This partnership signifies a major step toward strengthening India’s high-tech manufacturing ecosystem by fostering local production capabilities in the growing server and data center industry.
Bharat Forge’s wholly-owned subsidiary, Kalyani Powertrain, has taken a significant step in India’s technology manufacturing sector by entering into a technology licensing agreement with Taiwan-based Compal Electronics, Inc. This agreement focuses on the production of servers based on the X86 platform, a widely used architecture in computing and data center applications.
Expressing his enthusiasm about the partnership, Bharat Forge’s Vice Chairman and Joint Managing Director, Mr. Amit Kalyani, stated that the company is honored to collaborate with Compal Electronics, a global leader in technological products. He emphasized that manufacturing servers in India through this association aligns with the country’s broader vision of enhancing domestic production capabilities.
According to Mr. Kalyani, this partnership will provide a strong boost to India’s manufacturing competitiveness in the high-tech sector. He further highlighted the confidence that Compal Electronics has placed in the Kalyani Group, describing it as both encouraging and a testament to the group’s expertise and potential in the industry.
In a significant milestone for India’s electronics manufacturing sector, Kalyani Powertrain’s electronics division announced in February 2025 the launch of its first indigenously manufactured servers. These “Made in India” servers are being produced at the company’s state-of-the-art manufacturing facility located in Pune, Maharashtra.
The launch underscores Kalyani Powertrain’s commitment to strengthening India’s position in the global technology and data infrastructure market by offering domestically manufactured, high-performance server solutions. The advanced Pune facility is equipped with cutting-edge technology and adheres to international quality and efficiency standards, ensuring that the locally produced servers meet the demands of modern data centers and enterprise computing environments.
This development aligns with India’s broader efforts to enhance self-reliance in electronics manufacturing and reduce dependence on imports while fostering innovation and technological advancement within the country.
In an official filing with the stock exchanges, the company stated that its newly established manufacturing facility is expected to play a crucial role in boosting local businesses and strengthening the regional manufacturing ecosystem. The factory is strategically positioned to enhance industrial growth, attract investment, and contribute significantly to the region’s overall manufacturing potential.
Bharat Forge Share Price Movement
On Thursday, Bharat Forge’s share price opened at ₹1,071.85 on the Bombay Stock Exchange (BSE), marking an increase from the previous day’s closing price of ₹1,057.45. During the intraday session, the stock experienced further upward momentum, reaching a high of ₹1,089.95. By the end of the trading day, Bharat Forge’s share price settled at ₹1,086.50, reflecting a gain of 2.75% compared to the previous close.
