Rane Holdings zooms over 8% after ZF acquires majority stake in JV

Joint venture produces safety products, means airbags and seat belt systems as well as hydraulic steering gears for the India domestic market as well as for exports.

December 30, 2021 11:01 IST | India Infoline News Service
ZF has increased its shares to become the majority shareholder with 51 percent in the Rane TRW Steering Systems joint venture from the Rane Group.

Till date, both partners held equal shares in the company, which employs around 3400 people. In the future, the joint venture will operate on the market under the name ZF Rane Automotive India. The renaming is reflective of the enhanced cooperation between the partners.

“India is a very important market for ZF and we want to grow sustainably here,” says Dr. Holger Klein, Member of the Board of Management (BOM), ZF Group.

“By acquiring a majority stake from our long-standing partner Rane, we aim to further expand both our passenger car and commercial vehicle business for our customers in the India region.”

This Joint Venture (JV) will further enhance the abilities of the partners to offer newer technologies, expedite new product introductions, and localization with Rane Group as a strategic partner to leverage competence, in line with ZF’s Refresh India strategy.

Commenting on the enhanced cooperation, Harish Lakshman, Vice Chairman, Rane Group & Managing Director, Rane TRW Steering Systems Pvt. Ltd. said, “Our relationship with ZF has gone from strength-to-strength over the past 35 years and the transfer of 1% to ZF is a major step in taking the relationship to the next level. We look forward to bring superior technology matching the customer requirements.”

Suresh KV, President ZF India Pvt. Ltd. stated, “The complementary nature of the partners has been the hallmark of this JV which has resulted in the organization performing consistently over the years. Supporting the Indian customer base with ZF engineering and technology along with the customer connect and operations excellence of Rane will continue to be the goal of this JV in future.”

At around 11:03 AM, Rane Holdings was trading at Rs649.15 apiece up by Rs49.1 or 8.18% on Sensex.

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