HAL jumps over 2.70% after inking Rs 2,890 cr deal with defence ministry; know more details

HAL Share Price: Hindustan Aeronautics Limited (HAL) jumped over 2.70 per cent in morning deals on BSE on Monday (March 18, 2024) after the company signed a deal with defence ministry to upgrade 25 Dornier aircraft.

The stock of the aeronautics company was trading higher by 0.98 per cent, or Rs 30.35, at Rs 3,129.20 at 9:47 am on Monday.

The stock that closed the trading session on Friday at Rs 3098.85 opened at Rs 3130.00 on Monday to jump to the day's high of Rs 3,183.80, a 2.74 per cent rise from the previous close. The day's low is Rs 3,121.25.

HAL signs deal with defence ministry

As per HAL's deal with defence ministry signed on March 15, 2024, the aeronautics firm will do mid life upgrade (MLU) of 25 Domier Aircraft along with associated equipment for the Indian Navy at a cost of Rs.2,890 crore.

"The MLU for Domier Aircraft includes an upgrade to incorporate state-of-the art Avionics Systems and Primary Role sensors. The upgrade would significantly enhance the operational capability of the Domier aircraft of the Indian Navy to perform Primary Roles of Maritime Surveillance, Coastal Surveillance, Electronic Intelligence and development of Maritime Domain Awareness. In addition, this upgrade will also enable Indian Navy Domiers to carry out Secondary Roles of Search and Rescue, Medical/Casualty Evacuation and Communication Link," HAL said in a statement on Friday. 

The MLU of 25 Domier Aircraft is likely to generate an employment of 1.8 lakh man days during its execution span of 6.5 years, HAL further said.