Azad Engineering to set up plant at Rs 500 cr in T; plans to raise funds

Hyderabad: City-based precision engineering player

Azad

Engineering Pvt Ltd, which conducted the ground-breaking ceremony for its third manufacturing facility at Tunki Bollaram, Medchal-Malkajgiri district of Telangana on Monday, is planning to raise over $ 100 million in the next two to three months, a top official of the company has said.

In June 2021, the company had closed its first round of funding of $20 million from DMI Finance Pvt Ltd.

Meanwhile, the new plant, that will manufacture critical components for the aviation as well as power generation industry, is being set up at an investment of Rs 500 crore over the next three years and is expected to create nearly 1,000 jobs.

The construction of the first phase of 30,000 sq meters is expected to be completed by July 2022 and the facility is set to commence operations from the second quarter of FY23.

This facility, which will eventually be spread over 23.45 acre, will deploy futuristic technologies such as industrial Artificial Intelligence and Robotics, among others and will also be applying for the IGBC Gold Rated Green Building certification.

Commenting on the development, Rakesh Chopdar, managing director, Azad Engineering said, “Setting up this plant is part of our strategic initiative to significantly scale up our manufacturing operations by investing in ‘industry 4.0 lean manufacturing facility’ to cater to the demand of our global clientele. We are investing to create a facility that will feature unique capabilities in precision forging, sheet metal fabrication, thermal spray coating, chemical processing, metal joining and testing laboratory, among others.”

Set up in 2008 by first-generation entrepreneur Chopdar, Azad Engineering manufactures supercritical rotating components for niche turbine and aerospace industry used by aircraft OEMs and for power generation. The company had logged revenues of Rs 124 crore last fiscal.


Stay informed with the latest Business News on Times of India. Explore updates on International Business, gain insights with Financial Literacy tips, and make use of Financial Calculators. Don’t forget to check the list of Bank Holidays in 2025, including Bank Holidays in January.


Ready to Master Stock Valuation? ET’s Workshop is just around the corner!