Rane Group, one of India's leading auto component manufacturer, has announced a major diversification into defense and aerospace. Rane Holdings Limited acquired 26% equity stake in SasMos HET Technologies Private Limited, a company engaged in manufacturing interconnection systems (cable harnesses) for various applications in the defense and aerospace industries.

As a part of its growth strategy Rane Group has been exploring opportunities to go beyond its current presence in automotive industry. It has been scouting for opportunities to grow and identified Defense and Aero Space industry as a possible area after the Indian government's decision to allow private participation in these sectors.

Bengaluru based SasMos HET Technologies is a leading manufacturer of products such as cable assemblies, wiring harness, panel boxes, and electro-mechanical assemblies used in aerospace and defense industry has been in the lookout for a suitable partner to expand their business. SasMos, is an eligible 'Offset Partner' for supplies to the Indian defense sector and also supplies interconnection systems (cable harnesses) to both domestic and overseas customers. SasMos HET Technologies has significant plans to scale up and is expected to grow to about Rs 120 crore in revenue in the next five years.

"Today is a momentous step forward as Rane ventures into this new area. We feel there are significant growth opportunities both in India and as an exporter. This entry also opens a new knowledge base for Rane in Electronics which will have a synergy with Automotive Industry," Said L Ganesh, Chairman, Rane Group.

Rane, which will continue its focus in maintaining its market leadership in auto components

space in its chosen product lines, looks at this diversification as a good fit for our future growth plans.

M/s Unifi Capital Pvt Ltd facilitated Rane in this transaction.