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, the company said in a statement.
The product portfolio includes brake linings, brake pads, brake blocks, clutch facings, and industrial friction products, backed by in-house R&D and a pan-India distribution network, it added.
Hindustan Composites’s Friction Business operates two manufacturing facilities in Paithan and Bhandara, Maharashtra. Based on the latest audited financial results, Friction Business reported revenue of Rs 315.04 crore and profit before tax of Rs 40.29 crore in FY26.
As part of the deal, Rane will also acquire the brand “COMPO”.
Rane said the transaction marks a transformative milestone. Upon completion, the acquisition will create a over Rs 1,000 crore friction materials business, establishing the company as the market leader across all major segments.
At present, Rane’s friction business—spans across passenger vehicles, two-wheelers, aftermarket and railways, alongside an export business aggregating revenue of over Rs 700 crore.
The transaction is expected to unlock substantial operational synergies through manufacturing scale, an expanded distribution network and enhanced R&D capabilities, the company said.
The expanded footprint is expected to serve as critical launchpad for future business expansion, it added.
“This acquisition leverages Rane’s ability to create a market-leading friction solutions platform. By integrating these complementary businesses, we are uniquely positioned to address the evolving needs of India’s transportation needs while driving operational excellence and long-term value for our stakeholders,” Harish Lakshman, Chairman, Rane Group, said in a statement.
The transaction is expected to be completed by the end of the second quarter.