HAL shares hit a fresh 52-week high of ₹5,149.90 per share on Monday, rising 2.38% despite weak sentiment in the broader market. As per CNBC TV18, the buying interest in the stock came after HAL entered into strategic partnerships with Adani Defence Systems and Technologies and Bharat Earth Movers (BEML) for manufacturing 90 fuselage structures for the Prachand Light Combat Helicopter (LCH). The partnerships represent the first time private industry has been integrated into the production of Prachand helicopter fuselage structures, marking a significant milestone in India's defence manufacturing ecosystem.
The partnerships come as HAL prepares to begin deliveries of 156 Prachand helicopters to the Indian Air Force (IAF) and the Indian Army from 2027-28 under contracts signed with the Ministry of Defence. As reported by CNBC TV18, the contracts, worth ₹62,700 crore, cover 66 helicopters for the IAF and 90 for the Indian Army. Under the contracts, supply of the helicopters is to begin from the third year and be completed over the following five years, with HAL required to start supplying the helicopters from 2027-28, along with training and associated equipment. The expanded manufacturing network is expected to help HAL meet delivery timelines while increasing the participation of Indian companies in defence production.
Under the latest agreements, BEML will manufacture 48 fuselage structures and Adani Defence will make 42 fuselage structures for the Prachand LCH programme. As per CNBC TV18, the agreements were signed by Tushar Ranjan Behera, General Manager, Helicopter Division, HAL, with R G K Rao, Executive Director, Aerospace & Maritime, BEML, and Prasanna Karthik, Vice-President, Adani Defence Systems and Technologies Limited (ADSTL), in the presence of senior leadership from the three companies. The development comes after the Ministry of Defence signed two contracts with HAL on March 28, 2025, for 156 Prachand LCHs for the armed forces.
Commenting on the partnerships, HAL Chairman and Managing Director Ravi K said, "This partnership marks a significant step in strengthening India's aerospace ecosystem. For the first time, the private industry is being integrated into the production of helicopter fuselage structures. This partnership will expand capacity, strengthen the domestic supply chain and contribute to enhancing indigenous aerospace manufacturing capabilities." According to CNBC TV18, Ravi stated that the partnerships would expand capacity, strengthen the domestic supply chain and contribute to indigenous aerospace manufacturing capabilities. The agreements bring private and public-sector Indian companies into the manufacture of fuselage structures for the LCH and expand the number of domestic suppliers involved in the helicopter programme.
The Prachand is India's first indigenously designed and developed combat helicopter, designed to operate at altitudes of more than 5,000 metres and intended for operations in high-altitude areas. As reported by CNBC TV18, the helicopter currently has around 45% indigenous content by value, which is expected to increase to more than 65% in the later stages of the series production programme. The 5.5 tonne class LCH features a narrow fuselage and tandem configuration for Pilot and Co-pilot/Weapon System Operator (WSO), incorporating stealth features such as reduced radar and infra-red signatures and crashworthy landing gear for better survivability. The helicopter is designed to carry out roles such as destruction of enemy air defence, counter insurgency, search and rescue, antitank, counter surface force operations, and other advanced military operations. The Prachand programme is a major part of India's push towards self-reliance in defence manufacturing, with the helicopter featuring several upgrades over the limited-series production version, including indigenous air-to-ground missiles, modern electronic warfare systems, nuclear detection capability, secure datalink, obstacle avoidance and directed infrared countermeasures.
