Rane Madras to Acquire HCL's Friction Business for ₹370 Cr

Rane (Madras) Limited (RML) has entered into a Business Transfer Agreement (BTA) with Hindustan Composites Limited (HCL) to acquire its friction business on a slump sale basis for an enterprise value of ₹370 Crore. This acquisition includes assets, liabilities, contracts, licenses, and employees, operating as a going concern. HCL's Friction Business has over six decades of experience and a product portfolio including brake linings, brake pads, and clutch facings, with two manufacturing facilities. In FY26, it reported revenue of ₹315.04 crore and PBT of ₹40.29 crore. The deal is expected to create a ₹1,000+ crore friction materials business for RML, establishing it as a market leader across major segments and unlocking operational synergies. The transaction is subject to customary closing conditions and regulatory approvals, with completion expected by the end of Q2.