Press Release

Issued by Hindustan Aeronautics (Helicopter Division).

March 16, 2016

HAL and Pawan Hans Ltd (PHL) have signed an MoU to establish a joint venture at Rohini (Delhi) to carry out maintenance work related to all types of helicopters and address the needs of defence and civil markets in India and other countries at a program held at the India Aviation 2016 show in Hyderabad. Mr. Ashok Gajapati Raju, the Union Minister for Civil Aviation, Mr. Rajiv Nayan Choubey, Secretary, Ministry of Civil Aviation, Mr. T. Suvarna Raju, CMD, HAL, Dr. B.P. Sharma, CMD, PHL and other senior officials were present on the occasion.

“The business of the joint venture will be conducted in the best interest of the customers based on sound commercial principles”, says Mr. Raju. Mr. V. Sadagopan, CEO (Helicopter Complex, HAL) and Mr. Sanjiv Bahl, executive director, (PHL) signed the MoU.

According Mr. Raju, both the companies will form a joint working team and conduct detailed studies, work on business plans, time lines and other required documents for the success of the venture. HAL has been manufacturing and overhauling its Cheetah/Chetak and Dhruv helicopters besides providing support for Sea King helicopter. The PHL is the largest civil helicopter operator in the country.

The helicopter business of HAL presently contributes to sizeable business of HAL. In years to come, this business segment will grow fast. The fleet size of helicopters in the civil segment in India is expected to go up to 800 in the next 10 years. In addition, there is an expected induction of 600 helicopters in defence. All this will require MRO and logistic support to sustain. Also, under the Government of India's “Make in India”, campaign there will be greater emphasis on boosting the civil aviation sector. The Government has released a new Draft Civil Aviation Policy on October 30, 2015 with a special focus on helicopter and MRO. Against this background, the HAL-PHL agreement on helicopter MRO assumes significance.