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  • 16 Feb 2023
  • ICICIdirect Research

HINDUSTAN AERONAUTICS SIGNS AGREEMENT WITH SAFRAN FOR HELICOPTER ENGINES

HAL - 4501 Change: 78.30 (1.77 %)

News: Safran Helicopter Engines (SHE) and Hindustan Aeronautics (HAL) have signed a workshare agreement for the joint development of the engine intended for the future 13-ton Indian Multi Role Helicopter (IMRH) and its naval version Deck Based Multi-Role Helicopter (DBMRH). HAL will take part in the design, development and production of some of the core engine components. SHE and HAL also agreed on the condition for the transfer right to HAL for manufacturing seven critical forging and casting raw parts, for further enhancement of indigenous content in Shakti engine of Advanced Light Helicopters (ALH), Light Combat Helicopters (LCH) & Light Utility Helicopters (LUH). HAL has also announced a collaboration agreement with German defence firm HENSOLDT for manufacturing of Obstacle Avoidance System (OAS) for Indian helicopters

Views: The indigenous design, development & production of core components of turboshaft engine for IMRH will be significantly positive for HAL in terms of faster development & production of this 13-ton helicopter, which IAF needs in future. Currently, IAF uses Mi-17 and Chinook CH-47 helicopters for heavy utility & transport purpose, which will be replaced by IMRH. Transfer of Technology for seven critical parts of Shakti engine will also lead to faster production of these 3-6 ton helicopters. HAL is currently executing initial contracts of LCH & ALH and expects the large-scale orders of about 390 helicopters (including LCH, LUH & ALH) in the next three to four years

Impact: Positive