Mahindra wants to make big in Aviation sector

[sudhir007]

Mahindra wants to make big in Aviation sector idrw.org

Mahindra & Mahindra (M&M) India’s largest car manufacture, has laid out plans to make big in Aviation sector in the country.

Mahindra Aerospace has purchased stakes in two Australian aerospace companies and wants to replicate success of the Brazilian aircraft maker Embraer. M&M is looking at establishing itself as a premier aircraft manufacturer, as well as a supplier of high-precision aircraft components.

Mahindra Aerospace in collaboration with National Aerospace Laboratories is developing a five-seater turboprop aircraft. Mahindra Aerospace is also eying multi-crore contracts arising from the offset clause made mandatory by the government on defense aircraft manufacturers when supplying fighter jets to the armed forces.

After the acquisition in Australian firm Mahindra Aerospace hopes to build 20-seater executive jets, with an aim of selling 25-30 such aircraft every month. And hope to sell about 475 aircraft globally in the next five years.

Mahindra Aerospace has invested Rs 46 crore in setting up an aerospace facility at Malur in Karnataka and expects it to be operational by July.

 

[SpArK]

M&M eyes Boeing's Australian facility

Mahindra & Mahindra (M&M) is looking to buy Boeing's Australian facility, reports CNBC-TV18's Swati Khandelwal Jain. It may look at re-locating Boeing equipments to India. The company is looking to leverage export opportunity via the offset program.
The acquisition will make Mahindra Aerospace Pvt (MAPL) a contract manufacturer of aircrafts and components. Mahindra Aerospace is a part of Mahindra Systech.
MAPL will undertake contract manufacturing for third-parties from India and make two and six-meter sections for Boeing.


The Boeing-M&M offset deal may not have export restrictions.
M&M plans to scale up investments in the aerospace business to Rs 250 crore. It plans to increase investments in its Bangalore facility and is looking at additional land with access to an airfield. The land could be in Bangalore, Hyderabad, or Nagpur.
M&M is developing a five-seat plane along with National Aeronautics.
On May 26, Reuters reported that M&M plans to invest Rs 250 crore into aerospace business. Mahindra will invest Rs 150 crore into aircraft component manufacturing, and another Rs 100 crore in aircraft manufacturing, its Managing Director Anand Mahindra said. He said the group is open to inorganic opportunities to grow its aerospace business.


M&M eyes Boeing's Australian facility - CNBC-TV18 -