Brembo Buys Out Bosch Share Of Brake Systems Joint Venture In India

Brembo Buys Out Bosch Share Of Brake Systems Joint Venture In India

© 2008, Roadracing World Publishing, Inc.

BREMBO PURCHASES REMAINING 50% OF KBX JOINT VENTURE FROM BOSCH KBX Motorbike Products Private Ltd is a leader in development, production and sales of disc brake systems for motorbikes in India STEZZANO, Italy Brembo, a 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 probably be executed by the end of this year, after completing the mandatory Indian legal requirements. KBX was established in February 2006 as a 50-50 joint venture between Brembo and Bosch. The 2008 expected sales are 1.050 million Rupies ( €17 million), the 2008 expected EBIT is 93 million Rupies (€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 and Royal Henfield (sic). “This acquisition is another important step for the growth of Brembo in a fast growing market; Brembo will continue to search for further development opportunities also in other segments of its core business,” stated Alberto Bombassei, Chairman of Brembo S.p.A. Since 2007, Brembo has been based in India, with a design center supporting the Group R&D activities. Brembo S.p.A. is a 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 a leader in motorsports winning more than 200 championships. Today the company operates in 13 countries on 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 also the owner of the Brembo, AP Racing, Marchesini and Sabelt brands. For further information: Investor Relations : Orsi Corrado Tel. +39 035 605 2884 Vavassori Roberto Tel. +39 035 605 2223 e-mail : [email protected] Internet website: www.brembo.com

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