New Delhi: HFCL Limited has announced a major restructuring of its defence and aerospace operations, forming a new subsidiary, HFCL Advance Systems Private Limited (HASPL), to consolidate its aerostructures, radar systems, and thermal weapon sights businesses. The subsidiary begins operations with a confirmed order book of ₹16.8 billion, of which ₹15.7 billion comes from export contracts.
The consolidation includes the acquisition of Spiral EHL Engineering, which will integrate the aerostructure and aeronautics business of Defsys Solutions, along with HFCL’s radar unit, Raddef Private Limited, and its thermal weapon sight operations. HFCL will retain a majority equity stake in HASPL.
HASPL is set to operate from facilities in Gurugram and Bengaluru, offering a vertically integrated platform covering design, prototyping, manufacturing, and system integration. Its radar portfolio spans ground surveillance, coastal monitoring, drone detection, and RF jamming technologies, while the thermal weapon sight business focuses on electro-optical and infrared targeting systems.
The move aligns with India’s ‘Make in India’ initiative and defence procurement reforms, aimed at strengthening domestic defence manufacturing. With a defence budget of ₹6.2 trillion, a growing share is earmarked for Indian suppliers, creating opportunities for private-sector players like HFCL to expand their capabilities.
Managing Director Mahendra Nahata described HASPL’s creation as “a strategic commitment to building sovereign, technology-led defence capacity.” Transactional agreements are expected to be completed by May 2026, with financial closure slated for later this year, marking HFCL’s largest expansion into defence electronics to date.
