Latham & Watkins Advises ZF on Sale of its Stake in Brakes India

A team led by partner Dr. Stefan Widder also advised ZF on the acquisition of WABCO.

June 23, 2021

Latham & Watkins LLP is advising ZF Friedrichshafen AG (ZF) on the sale of its stake in Brakes India Private Limited (Brakes India), a leading supplier of braking systems in the Indian market and a global supplier of ferrous castings.

The divestment was part of the merger approval process for the indirect acquisition of publicly listed WABCO India Limited (WABCO India) in connection with ZF’s acquisition of global automotive supplier WABCO. The Competition Commission of India (CCI) required ZF to divest its stake in Brakes India (a long-standing joint venture between TVS and ZF). Post this divestment, ZF will neither directly nor indirectly retain any shareholding in Brakes India.

In parallel to the Brakes India transaction, for regulatory reasons ZF was also required as a majority shareholder to own not more than 75% of the shares in WABCO India. Therefore, excess shares are being sold back to the stock market. Going forward, ZF will continue to be the majority shareholder of WABCO India. 

ZF is a global technology company suppling systems for passenger cars, commercial vehicles and industrial technology, enabling the next generation of mobility.

Latham & Watkins is one of ZF's selected panel law firms, including for M&A transactions. A team led by partner Dr. Stefan Widder also advised ZF on the acquisition of WABCO. 

Latham represents ZF in the transaction with a team led by Hamburg partner Stefan Widder, with associate Maximilian Berenbrok, London partners Richard Butterwick and Anna Ngo, associate Ei Nge Htut and New York capital markets partner Catherine Lee.

On Indian matters ZF has been advised by premier Indian law firm Shardul Amarchand Mangaldas & Co.

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