Mumbai: Azad Engineering Limited announced on Tuesday, October 12, 2026, that it has been approved as a long-term source by Bharat Heavy Electricals Limited (BHEL), a Maharatna Indian Public Sector Undertaking.
Contract Details
BHEL awarded Azad Engineering a two-year Long Term Rate Contract for the supply of critical stationary and rotating airfoils (blades) used in heavy-duty gas turbines. The estimated value of this domestic contract is approximately ₹52.68 crore.
Previous Engagements
Earlier, in May 2026, the company executed a similar rate contract. Azad Engineering initially assessed that order as not material from a business perspective and did not disclose it at the time.
Materiality Assessment
Considering the combined value and duration of both arrangements, the company now deems the contract material and is making the disclosure in accordance with SEBI regulations.
Strategic Importance
Azad Engineering said this approval is an important step in its growing role in India's domestic power generation equipment ecosystem. It also supports BHEL's efforts towards indigenisation of critical gas turbine components.
Execution Timeline
The company expects to execute the order by October 9, 2028. This long-term rate contract is a domestic transaction.
No Related Party Transaction
Additionally, the order does not fall within related party transactions and is done at arm's length.
Disclaimer: This story is based on company exchange filings and is for informational purposes only. Investors should evaluate risks before making decisions.
