The 1.85 Ga Sudbury Igneous Complex (SIC) and its thermal aureole are unique on Earth with regard to unraveling the effects of a large impact melt sheet on adjacent target rocks. Notably, the formation of Footwall Breccia, lining the basal SIC, remains controversial and has been attributed to impact, cratering, and postcratering processes. Based on detailed field mapping and microstructural analysis of thermal aureole rocks, we identified three distinct zones characterized by static recrystallization, incipient melting, and crystallization textures. The temperature gradient in the thermal aureole increases toward the SIC and culminates in a zone of partial melting, which correlates spatially with the Footwall Breccia. We therefore conclude that assimilation of target rock into initially superheated impact melt and simultaneous deformation after cratering strongly contributed to breccia formation. Estimated melt fractions of the Footwall Breccia amount to 80 vol% and attest to an extreme loss in mechanical strength and, thus, high mobility of the Breccia during assimilation. Transport of highly mobile Footwall Breccia material into the overlying Sublayer Norite of the SIC and vice versa can be attributed to Raleigh–Taylor instability of both units, long‐term crater modification caused by viscous relaxation of crust underlying the Sudbury impact structure, or both.