Gandhinagar: The multi-billion dollar Adani Group Tuesday announced that it is set to acquire Air Works, one of India’s biggest and highly diversified aircraft Maintenance, Repair and Overhaul (MRO) companies, as part of its growing defence portfolio.
Adani Defence Systems and Technologies Ltd (ADSTL) said it has signed definitive agreements to acquire Air Works, which has one of the largest pan-India presence across 27 cities, at a cost of Rs 400 crore.
“Given India’s growth trajectory and the government’s focus to network the nation through a massive mesh of air connectivity, it is inevitable that the primary growth of India’s airline and airport sector lies ahead of it,” Ashish Rajvanshi, CEO of Adani Defence & Aerospace, the defence manufacturing arm of the $250 billion-plus Adani Group, said in a statement.
He added, “Therefore, the MRO sector has a crucial role to play in both the defence and civilian aerospace sector. Add to this the ongoing modernisation programme to make India a large market for defence aircraft, and what emerges is one of the most exciting, comprehensive, at scale and digital MRO services within the boundaries of the nation.”
From the first P-8I aircraft Phase 32 checks to Phase 48 checks, and MRO on the landing gear of the Indian Air Force’s 737 VVIP aircraft, Air Works undertakes base maintenance for ATR 42/72, A320 and B737 fleet of aircraft from its facilities in Mumbai, Delhi, Hosur and Kochi.
Past acquisitions
The acquisition of Air Works is one among many that the Adani Group has purchased over the past few years in the defence sector.
The Adani Defence & Aerospace arm of the company has also entered into a joint venture with Israeli firm Elbit Systems. Through this joint venture, the firm is eyeing multiple deals with the Indian armed forces for its drone and counter drone requirements, besides loitering munitions.
Earlier, the Adani Group had acquired PLR Systems, which has a joint venture with Israeli Weapons Industry (IWI). Through this venture, the Adani Group hopes to cater to the diverse needs of the Indian armed and police forces in the small arms sector, including snipers and assault rifles.
Another key acquisition of the Adani Group has been that of Bengaluru-based Alpha Designs, a firm which also caters to the aerospace sector.
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