Rane (Madras) Sells 3.48 Acres in Chennai’s Velachery for ₹361.18 Crore

Rane (Madras) Ltd has completed the sale of a 3.48-acre land parcel in Velachery, Chennai, for ₹361.18 crore, marking a significant monetisation of surplus land by the auto component manufacturer.

The property has been acquired by Canopy Living LLP, a joint venture between Prestige Estates Projects and Arihant Foundations & Housing. The transaction converts a non-core land asset into cash at a time when Rane (Madras) is pursuing investments and balance-sheet management.

According to the company’s disclosures cited by SAHI Markets, Rane (Madras) had already received cumulative advances of ₹170 crore against the transaction as of June 30, 2026. The latest transaction completes the sale of the 3.48-acre portion of the original 4.50-acre parcel.

Rane (Madras) will retain the remaining 1.02 acres. The company plans to use the retained land for a new centralised corporate office, bringing its divisional operations together at a single location. The move is also expected to support greater coordination among its business divisions.

The balance amount from the ₹361.18 crore transaction is expected to be used primarily towards reducing the company’s existing corporate debt, while also supporting capital expenditure for its core operations.

For Canopy Living LLP, the land acquisition adds to its plans for a premium residential development in Velachery. The proposed project has an estimated gross development value of more than ₹1,600 crore, according to the report.

The land sale comes alongside Rane (Madras)’s broader expansion plans. On June 30, 2026, the company entered into a Business Transfer Agreement to acquire the Friction Business of Hindustan Composites Ltd through a slump sale for ₹370 crore in cash. The acquisition is expected to expand Rane (Madras)’s presence in the commercial vehicle braking segment.

The company is therefore balancing asset monetisation with investments in its core business. The Velachery transaction provides a substantial cash inflow while allowing Rane (Madras) to retain a portion of the original property for its corporate office.

The deal also highlights continued activity involving large land parcels in Chennai’s established commercial and residential locations, where redevelopment and residential projects can command significant project values.