Chennai, Jul 1 (PTI) Rane (Madras) Ltd (RML) on Wednesday entered into an agreement with Hindustan Composites Ltd (HCL) to acquire its friction business as a going concern on a slump sale basis for an enterprise value of Rs 370 crore, subject to the terms of the agreement.
HCL’s friction business is a leading supplier of friction materials with over six decades of experience across the automotive, railway, farm tractor and industrial sectors.
Its product portfolio includes brake linings, brake pads, brake blocks, clutch facings and industrial friction products, supported by in-house research and development capabilities and a pan-India distribution network.
The business operates two manufacturing facilities at Paithan and Bhandara in Maharashtra.
According to the latest audited financial results, the friction business recorded revenue of Rs 315.04 crore and a profit before tax (PBT) of Rs 40.29 crore during FY26.
As part of the acquisition, RML will also acquire the “COMPO” brand, strengthening its position in the sector by expanding its reach across multiple segments, including distributors, fleet operators and aftermarket channels. PTI SNR ROH
/images/ppid_59c68470-image-178283503056310235.webp)
/images/ppid_59c68470-image-17828175383022009.webp)
/images/ppid_59c68470-image-178291006411628226.webp)
