The Bombay was developed by Nikki Horner, a breeder in Louisville, Kentucky. She set out to create a "miniature black panther" by crossing sable Burmese with a solid black American Shorthair. Her first attempts in the late 1950's were disappointing. A few years later, working with different breeding stock, she began to get the results that she was looking for: a cat with good muscular development and a very short, close-lying black coat. Recognition and acceptance of the new breed by the registering associations took 18 years; the Bombay was accepted for championship in CFA in 1976.

Bombay breeders frequently outcross to Burmese to retain the body type and coat texture. As a consequence, the Bombay shares many physical characteristics with the Burmese. Nikki Horner considers the Bombay a "black Burmese", but other breeders point out the physical differences. Bombays tend to be a little larger, with longer bodies and longer legs than the Burmese, and have a less pronounced nose break.