 "Indigenous aircraft, Saras aircraft,Harsh Vardhan,Union Science and Technology minister, HAL, Saras PT1N,CSIR-National Aerospace Laboratories,SARAS Mk 2 ,UDAAN Scheme, Narendra Modi, J Jadhav,IAF, Tatas, Mahindra, Reliance, Indian Air Force")
Shares of Hindustan Aeronautics (HAL) climbed 10 per cent to Rs 885, also its fresh 52-week high on the BSE on Tuesday, after receiving approval for enhancing working capital limit.
“The Competent Authority has granted its approval for enhancement of working capital limit from Rs 7,300 crore to Rs 12,050 crore including issuance of commercial papers of maximum of Rs 5,000 crore, as sanctioned by SBI and other consortium banks,” HAL said in an exchange filing.
With today’s gain, the stock of the state-owned aerospace company has rallied 20 per cent in the past seven trading days, after ICRA assigned a long-term rating of double A and a short-term rating of A one plus for the company's bank facilities with stable outlook.
“The assigned rating draws comfort from the majority ownership held by the Government of India (GoI) in HAL as well as HAL’s strategic position as a dominant supplier of aircrafts, helicopters, engines, avionics and accessories as well as main provider of maintenance, repair and overhaul services to the Indian defence forces,” the rating agency said in a rationale.
The GoI’s increased focus on indigenisation with the Make in India policy and the establishment of defence corridors and mandatory offset policy for defence procurement by GoI, augur well for the company’s future growth.
The company is of strategic importance to the Indian defence forces comprising the Indian Army, Indian Airforce, Indian Navy and Indian Coast Guard, on account of it being the sole domestic supplier of aircrafts, helicopters, engines, avionics and other accessories. It occupies a leadership position in the Indian aerospace and defence industry. The company is also engaged in providing maintenance, repair and overhaul (MRO) services for aircrafts and helicopters for its products as well as those which are directly purchased by the MoD from foreign OEMs.
“The Competent Authority has granted its approval for enhancement of working capital limit from Rs 7,300 crore to Rs 12,050 crore including issuance of commercial papers of maximum of Rs 5,000 crore, as sanctioned by SBI and other consortium banks,” HAL said in an exchange filing.
With today’s gain, the stock of the state-owned aerospace company has rallied 20 per cent in the past seven trading days, after ICRA assigned a long-term rating of double A and a short-term rating of A one plus for the company's bank facilities with stable outlook.
“The assigned rating draws comfort from the majority ownership held by the Government of India (GoI) in HAL as well as HAL’s strategic position as a dominant supplier of aircrafts, helicopters, engines, avionics and accessories as well as main provider of maintenance, repair and overhaul services to the Indian defence forces,” the rating agency said in a rationale.
The GoI’s increased focus on indigenisation with the Make in India policy and the establishment of defence corridors and mandatory offset policy for defence procurement by GoI, augur well for the company’s future growth.
The company is of strategic importance to the Indian defence forces comprising the Indian Army, Indian Airforce, Indian Navy and Indian Coast Guard, on account of it being the sole domestic supplier of aircrafts, helicopters, engines, avionics and other accessories. It occupies a leadership position in the Indian aerospace and defence industry. The company is also engaged in providing maintenance, repair and overhaul (MRO) services for aircrafts and helicopters for its products as well as those which are directly purchased by the MoD from foreign OEMs.
