Hindustan Aeronautics Ltd (HAL) shares rose 2% on March 13 after the company announced bagging a Rs 667 crore order from the defence ministry.
At 10.33 am, shares of the company were trading 1.5% higher at Rs 2,891.20 on the BSE.
“The Ministry of Defence, on March 10, contracted an agreement for the purchase of six Domier-228 aircraft for the Indian Air Force (IAF) from Hindustan Aeronautics Limited (HAL) worth Rs 667 crore,” the company said in a regulatory filing.
In the past few weeks, the order inflow was decent. Earlier this month, the Union Cabinet permitted the acquisition of 70 HTT-40 basic trainer aircraft from HAL for Rs 6,828.36 crore. In February, the company contracted an agreement with the Argentinian Air Force for spares and engine supply repair of legacy two-ton class helicopters.
HAL chairman and MD CB Ananthakrishnan recently said that the defence equipment manufacturer had an order book position of Rs 84,000 crore and another Rs 50,000 crore of guidelines in the pipeline.
With government initiatives such as Atmanirbhar Bharat and geopolitical tensions, the viewpoint for defence equipment manufacturers has turned brighter.
HAL, India’s largest defence PSU, designs, manufactures, repairs, develops, overhauls, upgrades, and services an extensive range of products counting aircraft, helicopters, aero-engines, avionics, accessories, and aerospace constructions.