Tata Technologies up 3% on acquiring this German firm; top details inside

Tata Technologies share price: Tata Technologies share price rose as much as 2.72 per cent to an intraday high of ₹712 per share on Monday, September 15, 2025.

 

At 12:30 PM, Tata Technologies shares were trading 1.34 per cent higher at ₹711.25 per share. By comparison, BSE Sensex was trading flat with a positive bias at 81,916.84 levels. 

Why did Tata Technologies shares rise today?

 

Tata Technologies’ share price surged after the company announced it has signed a definitive agreement to acquire 100 per cent equity of ES-Tech GmbH and its subsidiaries (collectively, ES-Tec Group) for a total cash consideration of €75 million. 

 

 

The payment will be made over the next two years and includes performance-based earn-outs. The acquisition is expected to be EPS accretive from the first full year of operations. Notably, MCF Corporate Finance, based in Europe, advised Tata Technologies on the transaction.

 

Founded in 2006 and based in Wolfsburg, Germany, ES-Tec Group is an automotive engineering services provider with expertise in Driver Assistance Systems (ADAS), Connected Driving, and Digital Engineering. With over 300 skilled professionals, ES-Tec has earned a strong reputation for delivering complex systems engineering solutions to its clients.

 

The acquisition represents a key step in Tata Technologies’ global growth strategy, reinforcing its commitment to providing future-ready engineering solutions to the automotive sector. ES-Tec’s established presence in Germany, one of the world’s leading automotive innovation hubs, offers Tata Technologies a strategic platform to expand its ER&D operations, access top-tier engineering talent, and strengthen relationships with major OEMs.

 

“The acquisition of ES-Tec Group is a strategic leap that enhances our ability to deliver end-to-end product engineering solutions across the automotive value chain and represents our commitment to expand our global footprint in accessing innovative engineering capabilities,” said Warren Harris, managing director and chief executive officer of Tata Technologies. “ES-Tec’s technical depth, customer centricity, and regional strength align perfectly with our strategic vision to be the first partner choice for global OEMs navigating the shift towards intelligent, connected, and sustainable mobility.” 

 

Automotive industry insights

 

The automotive industry is undergoing a major transformation, with European OEMs increasing R&D investments in ADAS/AD, electrification, and software-defined vehicle platforms. 

 

As a result, the European market for Engineering Service Providers (ESPs) is expected to grow from €4.5 billion in 2020 to €11.7 billion by 2030. This trend creates major opportunities for ES-Tec to enhance its capabilities, deepen customer partnerships, and secure a larger share of high-value development programs.

 

Marc Wille, managing director and chief executive officer of ES-Tec, said, “Joining forces with Tata Technologies is a key step for the ES-Tec Group to extend the breadth and depth of capabilities and expand our international presence. Together, we are ready to take on the future challenges of the automotive industry – delivering real value for our customers through competitive pricing, outstanding quality, and faster development cycles. Our goal is clear: to drive the global automotive industry forward, and together with Tata Technologies, become a partner of choice for the mobility sector.”

 

Besides, the transaction is subject to customary closing conditions and regulatory approvals. 

 

Tata Technologies, headquartered in Pune, is a global engineering and digital services firm within the Tata Group. It provides ER&D, digital enterprise, and education solutions, through platforms like i GET IT, helping automotive, aerospace, and heavy machinery clients design safer, cleaner, and more sustainable products such as electric vehicles.