Target Entity: ZF Lifetec Rane Automotive India Private Limited (ZLRAI)
Type of Deal: Investment via rights issue in existing joint venture
Stake/Capacity: The Company's shareholding in ZLRAI will remain unchanged at 49% post-investment. Subscription to 5,15,954 Equity Shares of face value of ₹10/- each.
Deal Value: Cash consideration of ₹80.85 crores
Funding Source: Cash consideration
Financial Impact: The funds will be utilized by ZLRAI towards its capex and operational expenditure requirements. ZLRAI's financials as per audited statements FY 2025-26: Turnover: ₹1,180.55 crores; Net Worth: ₹113.74 crores.
Timeline: Investment to be completed on or before October 31, 2026
Strategic Rationale: Subscription to rights issue is proposed for full entitlement. The investment supports ZLRAI's capital expenditure and operational needs while maintaining Rane Holdings' 49% stake in the joint venture.
Approval Status: Approved by the Finance Committee of the Board of Directors on October 22, 2026
Reference Regulation: SEBI Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
Additional Details:
ZLRAI is a joint-venture between ZF Automotive JV US LLC & Rane Holdings Limited
Industry: Automotive components industry (manufacturing of airbags, safety seat belt systems and cushions)
Date of Incorporation: July 04, 2024
Country of Presence: India
Turnover history: 2026: ₹1,180.55 crores; 2025: ₹914.91 crores; 2024: NA
The issue price of ₹1,567/- per share (face value ₹10 + premium ₹1,557) was determined by independent valuation by M/s. PwC Business Consulting Services LLP
The transaction is classified as a related party transaction but is exempt from RPT rules pursuant to Regulation 2(1)(zc) of the SEBI LODR Regulations, 2015
Promoters/Promoter Group of the company do not have any interest in the investment or any other interest in ZLRAI
