Adani Defense Systems & Technologies Ltd. (ADSTL) has signed a definitive agreement to acquire 85.8% stake in aircraft maintenance company Air Works India for an enterprise value of Rs 400 crore. The acquisition marks a significant growth in India's maintenance, repair and overhaul (MRO) sector, bringing one of the country's largest private players under the Adani umbrella.
Airworks, a major player in the aviation sector, operates across 35 cities in India and employs more than 1,300 people. The company provides a wide range of services including line maintenance, load checks and aviation operations for fixed wing and rotary aircraft. It also carries out basic maintenance for narrow-body and turboprop aircraft at its facilities in Hosur, Mumbai and Kochi, certified by over 20 international civil aviation authorities.
In addition to its commercial aviation services, Airworks has developed expertise in defense MRO, undertaking projects for aircraft used by the Indian Navy and Air Force. The acquisition by Adani Defense is seen as an attempt to consolidate and expand its presence in both the commercial and defense aviation sectors.
Jeet Adani, Director, Adani Airports, highlighted the growing importance of India's aviation sector, saying, “The country is on track to become a global aviation hub with rapid growth in aircraft size and connectivity. This acquisition allows us to strengthen our position in the MRO segment, a critical component of the aviation value chain.
According to Adani Defence, the deal is in line with the government's ongoing efforts to boost indigenous capabilities in the defense sector under the Aatmanirbhar Bharat initiative. Ashish Rajvanshi, CEO, Adani Defense & Aerospace, noted that the acquisition will allow Adani to expand its offerings in the aviation sector and cater to the maintenance needs of commercial operators and the armed forces.
Airworks has been a leading player in India's aviation industry for decades, serving both domestic and international customers. With this acquisition, Adani Defense aims to integrate Air Works' expertise into its broader strategy of developing a comprehensive aviation ecosystem.
About Adani Defense & Aerospace
Adani Defense & Aerospace, a subsidiary of the Adani Group, focuses on developing products and solutions for India's defense sector. Its activities include partnerships with start-ups and MSMEs, fostering innovation and contributing to the country's self-reliance in defense manufacturing.
The acquisition comes as India's aviation sector is experiencing significant growth, creating opportunities to expand maintenance and repair services to accommodate increasing aircraft size and connectivity demands.