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30th October 2008 - BREMBO Purchases 50% of JV KBX from Bosch

KBX Motorbike Products Private Ltd is leader in development, production and sales of disc brake systems for motorbikes in India. Brembo, leader in high-performance brake systems, signed an agreement with Bosch Chassis Systems India Ltd. for the acquisition of 50% of KBX motorbike Products Private Ltd (KBX), based in Pune (India), until now a 50-50 joint-venture. On the basis of the joint-venture agreement, the agreed upon price is equal to €10,7 million. The acquisition will be probably executed by the end of this year, after completing the mandatory legal fulfillments required by the Indian Law.

KBX, leader in development and production of brake systems in India, was established in February 2006 as a 50-50 joint-venture between Brembo and Bosch. The 2008 expected sales are 1.050 million Rupees (€17 million), the 2008 expected EBIT is 93 million Rupees (€1,5 million); KBX has no financial debt. KBX has about 220 associates in the new plant of Pune, well known as the most important Indian automotive district.

KBX hold a 50% market share of motorbike brake systems manufactured in India and its main clients are the leading local as well as international companies such as Bajaj, Hero Honda, Honda Motors, Yamaha, Suzuki, Royal Henfield. “This acquisition is another important step for the growth Brembo in a fast growing market; Brembo will continue to search further development opportunities also in other segments of its core business”, stated Alberto Bombassei, Chairman of Brembo S.p.A..

Brembo is based in India, since 2007, also with a design centre supporting the Group R&D activities.  Brembo S.p.A. is the world leader and acknowledged innovator of the brake disc technology for automotive vehicles. Brembo supplies high performance brake systems for the most important manufacturers of cars, commercial vehicles and motorbikes worldwide. Moreover, Brembo is also a leader in the racing sector and has won more than 200 championships. Today the company operates in 13 countries of 3 continents, with 25 production and business sites, and a pool of about 6000 employees, 9% of whom are engineers and product specialists active in the R&D. The 2007 sales were equal to € 912 million. Brembo is the owner of the Brembo, AP Racing, Marchesini and Sabelt brands.

Source: Brembo Press Release

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