Aerospace parts manufacturer Azad Engineering Pvt Ltd said it plans to set up its second manufacturing facility in Hyderabad with an infusion of $80 million (Rs 585.4 crore) over the next 3 years.
Its new lean facility will be spread across 50 acres allotted by Telangana State Industrial Infrastructure Corporation. Its manufacturing capacity will be expanded to deliver increased capability to aerospace tenants, it said.
Azad, which counts Godrej, Triveni Turbines, GE Aviation, Toshiba, and Hindustan Aeronautics Ltd among its clients, said its expansion plan gave a boost to execute its order book of $250 million it secured for the next 5 years.
The company is also in advanced talks and negotiations for some large contracts to improve its order book, it said.
Azad said that it will look to raise $60 million following the facility setup and it expects to hit the public market in 2023.
The company will grow at a compound annual rate of 50% over the next 5 years, Rakesh Chopdar, founder of Azad, said.
“The government of Telangana is proud to support this company and create a precision engineering cluster that will create jobs for 1,500 plus highly skilled people in Hyderabad to leverage and grow existing aerospace industry cluster,” Jayesh Ranjan, IAS, principal secretary, industries, government of Telangana, said.
Founded in 2008, Azad manufactures rotating components for turbine and aerospace industries.