HAL Share Price Hits Fresh 52-Week High As BEML, Adani Defence To Make Prachand LCH Fuselage Structures

Shares of Hindustan Aeronautics Ltd (HAL) hit a fresh 52-week high on Monday, August 17, as the company expanded its manufacturing partnerships for the Prachand Light Combat Helicopter (LCH) programme. The stock rose 2.38% to hit an intraday high of Rs 5,149.90 per share on the NSE, even as the broader market remained weak.

The stock gained after HAL entered into partnerships with Bharat Earth Movers Ltd (BEML) and Adani Defence Systems and Technologies for the production of fuselage structures for the Prachand LCH. Under the arrangements, BEML will manufacture 48 fuselage structures, while Adani Defence will produce 42, according to CNBC-TV18.

The agreements mark an expansion of HAL's domestic manufacturing network for the helicopter programme, with companies from both the public and private sectors now involved in fuselage production. The development also marks the first time private industry has been integrated into the production of helicopter fuselage structures for the LCH programme, according to HAL.

The move is significant for India's aerospace manufacturing ecosystem as HAL brings additional domestic companies into a key part of the helicopter production process. The partnerships are expected to increase the number of Indian suppliers participating in the programme while helping build manufacturing capabilities outside HAL's own production network.

HAL Chairman and Managing Director Ravi K said the partnerships mark a significant step in strengthening India's aerospace ecosystem.

"For the first time, the private industry is being integrated into the production of helicopter fuselage structures," Ravi K said.

He added that the partnerships would help expand production capacity, strengthen the domestic supply chain and contribute to India's indigenous aerospace manufacturing capabilities.

The development comes at a time when HAL is working on one of its larger helicopter programmes following contracts signed with the Ministry of Defence in March 2025.

Prachand LCH Order Background

The Ministry of Defence signed two contracts with HAL on March 28, 2025, for the supply of 156 Prachand LCHs to the armed forces. The contracts are valued at Rs 62,700 crore.

Of the total order, 66 helicopters are to be supplied to the Indian Air Force, while the remaining 90 helicopters are for the Indian Army. The order provides a sizeable production programme for HAL and involves manufacturing requirements across multiple stages of the helicopter supply chain.

The addition of BEML and Adani Defence to fuselage production will support the manufacturing requirements associated with the programme by bringing more domestic companies into the supply chain. For HAL, a broader vendor base can also help distribute production activities across specialised manufacturers as the company executes the order.

The partnerships further deepen the role of Indian companies in defence manufacturing and support the government's broader focus on increasing domestic capabilities in aerospace and defence production.

For investors, the development comes against the backdrop of HAL's large order pipeline and continued efforts to strengthen its manufacturing capacity. The participation of additional domestic manufacturers in the Prachand programme also highlights the increasing role of private-sector companies alongside established public-sector defence manufacturers.

HAL shares have remained in focus amid developments around the company's defence manufacturing and order pipeline. As of 12:15 pm on Monday, August 17, shares of Hindustan Aeronautics were trading at Rs 5,093.30 on the NSE, up Rs 63.40, or 1.26% for the day.

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