Business Update3 Jun 2026, 09:32 pm
HFCL Restructures Defence Business, Invests ₹89.25 Cr in HASPL
AI Summary
HFCL Limited's board approved a significant restructuring of its defence business. The company will invest ₹89.25 Crore in its subsidiary, HFCL Advance Systems Private Limited (HASPL), to create a focused defence platform. This includes the transfer of HFCL's thermal weapon sight (TWS) business to HASPL for ₹50 Crore and the disinvestment of up to 80% in Raddef Private Limited to HASPL for ₹75 Crore. Additionally, HASPL will acquire HFCL Defence Systems Private Limited for ₹25 Crore and invest ₹25 Crore in its aerostructure business. These moves aim to strengthen HFCL's defence capabilities, expand into aerostructures, and leverage an export order book of approximately ₹1,890 Crore.
Key Highlights
- HFCL invests ₹89.25 Cr in subsidiary HASPL to consolidate defence business.
- TWS business transferred to HASPL for ₹50 Cr; 80% stake in Raddef sold to HASPL for ₹75 Cr.
- HASPL acquires HFCL Defence Systems for ₹25 Cr and invests ₹25 Cr in aerostructures.
- Strategic move to create a scalable defence platform with export order book of ₹1,890 Cr.
- Transaction aims to strengthen defence sector presence and 'Make in India' initiative.