Sells Friction Business for INR 370 Crore to Rane Madras via slump sale

Core Business DivestedStrategic Transactions View source PDF Explain this filing

HINDCOMPOS · price

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Price reactionminutes from the announcement price · days from the prior close

+9.3%Reaction day

₹424.00

prior close

₹450.00

announcement price

After-mkt

timing

Nifty Microcap 250market · in no size index; the smallest one is used+0.2%+9.1% vs market

Auto Components & Equipments peers, median of 118sector+0.7%+8.6% vs sector

On the reaction day the stock moved 9.1 pts more than Nifty Microcap 250 and 8.6 pts more than its Auto Components & Equipments peers, over the same two closes: a difference in percentage points, not a measure of what the filing did.

Minutes after the announcementfrom the announcement price · no benchmark

Stock

+7.7

10m

+7.1

15m

+7.2

30m

+6.7

Sessions after the filingfrom the prior close

StockMarketvs marketSectorvs sector

Reaction day

+9.3+0.2+9.1+0.7+8.6

Next day

+8.0+1.0+7.0+2.0+6.1

+5.7+0.7+5.0+2.1+3.6

+2.8+0.9+1.9+1.4+1.5

+2.7+0.2+2.5+1.2+1.5

+3.5-1.8+5.4-0.4+3.9

+3.4+1.4+2.0+1.0+2.4

15d

+1.9-0.6+2.5+0.5+1.4

+0.3+1.5-1.2+3.6-3.3

-4.5+4.5-9.0+3.5-8.0

-9.3+3.1-12.4+2.7-12.0

UpDownMarket · Nifty Microcap 250Sector · Auto Components & Equipments peers, median of 118Pending

Minute windows have no benchmark: there is no intraday index history to compare against.

AI summary

Hindustan Composites to sell Friction Business Undertaking (auto, railway, industrial friction materials) to Rane Madras via slump sale for INR 370 Crore cash. The unit contributed 84% of FY26 turnover (INR 315 Cr) but only 7.50% of networth. Subject to shareholder approval via postal ballot. Completion expected by 30 Sept 2026. Not a related party deal. Company calls deal EPS-accretive and plans a special dividend from net proceeds.

Likely market impact

Major divestiture of core revenue business at a value-unlock price. Expected EPS-accretive with a special dividend likely from proceeds. Awaiting shareholder approval.