Bajaj Holdings & Investment Ltd. is not a manufacturer, a lender, or an insurer - it is the investment holding company that owns large, permanent stakes in the businesses that do those things, principally Bajaj Auto and Bajaj Finserv. It was born in its current form from the 2007 demerger of the old Bajaj Auto into three separate listed companies, with BHIL becoming the vehicle that holds the group’s founding stakes. Its entire approach is to own a concentrated portfolio of these strategic group holdings for the very long term, collect the dividends they pay out, and pass most of that cash straight to its own shareholders - while separately managing a large financial-investment portfolio to generate additional returns. # Business segments Three engines, one holding company - two giant associate companies that generate nearly all the dividends BHIL lives on, and a financial-investment portfolio that puts surplus cash to work. ## 1. Strategic group holdings: the permanent ownership stakes that feed the dividend stream **BHIL’s core asset is a set of large, multi-decade equity stakes in Bajaj Auto and Bajaj Finserv - together worth over ₹2 lakh crore at market value - which supply the dividends that the company then distributes to its own shareholders.** - **The twin pillars** - BHIL and its subsidiaries hold 36.67% of Bajaj Auto (BAL) and 41.53% of Bajaj Finserv (BFS), two listed giants that between them cover motorcycles, commercial vehicles, consumer lending, general insurance, and life insurance. Both have delivered annualised total returns of roughly 25% since listing 17 years ago, more than double the Sensex over the same period. - **Bajaj Auto: the two-wheeler and EV engine** - BAL manufactures motorcycles, scooters, and commercial vehicles, and has a tie-up with premium European brands KTM and Husqvarna through a 49.90% holding in Pierer Bajaj AG, plus a partnership with British brand Triumph. It is also pushing into electric vehicles through its wholly owned subsidiary Chetak Technology Ltd., and has a captive finance arm to fund customer purchases of its vehicles. - **The Allianz buyout deepens the insurance grip** - in early 2026, BHIL directly acquired a 17.56% equity stake in each of the two insurance companies from Allianz SE, with BFS and a promoter-group company buying the rest of Allianz’s 26% holding; after a subsequent buyback of the residual 3%, the Bajaj group owned 100% of both insurers and BHIL’s direct stake rose to 18.10%. This means BHIL now holds insurance-company equity directly on its own books, not just indirectly through its BFS stake. - **A subsidiary that stopped making things** - BHIL also owns 51% of Maharashtra Scooters Ltd., a listed subsidiary that closed its manufacturing operations in FY2025 and transferred leasehold rights of its Satara factory land and building, plant and machinery, effectively becoming a shell that holds investments rather than a producer. ## 2. Financial-investment portfolio: putting surplus cash to work in public and private markets **Alongside its permanent group stakes, BHIL runs a ₹15,000-crore portfolio of equities, bonds, and property - managed by an in-house team with a multi-year horizon - that has consistently beaten the Sensex.** - **A disciplined allocation framework** - a Board-approved policy requires at least 35% of surplus funds (at cost, excluding strategic holdings) to sit in debt instruments, with a maximum of 65% allowed in equities and equity-linked instruments. This keeps the portfolio anchored in safer assets even as it hunts for equity upside. - **Equities held for the long run** - BHIL invests in listed and unlisted equities with a typical holding horizon of five years or more; as of March 2024, 86% of its other equity investments at cost were in listed companies, with unlisted positions including the National Stock Exchange and Fabindia. The equity portfolio has outperformed the Sensex by 3 to 5 percentage points per annum over three-, five-, and ten-year periods. - **Investment properties as a side bet** - BHIL holds land and buildings for long-term rental yield or capital appreciation, carried at a cost of ₹167 crore but with a market value of ₹305 crore as of March 2025. These are a small but tangible slice of the overall portfolio. # Group structure and partners **BHIL sits at the centre of a web of listed and unlisted Bajaj group companies, with cross-holdings, a wholly owned investment subsidiary, and a recent restructuring that brought the insurance arms fully into the family.** - **Born from a demerger** - BHIL was created in 2007 when the original Bajaj Auto Ltd. was split into three separate listed entities: Bajaj Auto (the manufacturing business), Bajaj Finserv (the financial-services business), and BHIL (the holding company that retained stakes in both). - **The associate structure** - BHIL’s consolidated financials treat BAL (36.67% stake, net of BAL’s 3.14% cross-holding in BHIL) and BFS (41.53%) as associates, while Maharashtra Scooters Ltd. (51%) and Bajaj Auto Holdings Ltd. (100%) are fully consolidated as subsidiaries. - **The insurance companies are now directly in the fold** - following the Allianz exit in early 2026, BHIL directly owns 18.10% of Bajaj General Insurance and Bajaj Life Insurance, BFS owns a controlling stake, and a promoter-group entity holds the remainder - making the two insurers 100% Bajaj-group owned for the first time. - **Inter-group transactions keep the structure fluid** - in June 2025, BHIL sold a 0.65% sliver of BFS via a block deal for over ₹2,000 crore, and in April 2026 it bought a 0.13% stake in BFS from its own subsidiary BAHL, nudging its cumulative BFS holding to 38.41%.