The Mughal Empire, founded in 1526, is the dominant power in the Indian subcontinent during the mid-sixteenth century.

Growing apprehensive of the power of the Mughal emperor Humayun, Sultan Bahadur Shah of the Gujarat Sultanate is obliged to sign the Treaty of Bassein with the Portuguese Empire on December 23, 1534.

According to the treaty, the seven islands of Bombay, the nearby strategic town of Bassein and its dependencies were offered to the Portuguese.

The territories will be surrendered on October 25, 1535.