Raymond subsidiary wins fighter aircraft parts contract using customer infrastructure
Raymond, best known for its clothes and fabrics, is switching things up: its subsidiary just landed a contract to build key parts for a fighter aircraft.
This marks a big move as Raymond steps into the high-tech aerospace world, and it's doing it smartly by using the customer's existing infrastructure instead of pouring in loads of new cash.
Raymond CFO calls aerospace opportunity strategic
The contract comes from a leading Indian aerospace and defense original equipment manufacturer (OEM) and gives Raymond a chance to prove itself in building complex aircraft structures.
Rakesh Tiwary, Group CFO, Raymond Group, said, "This opportunity is strategically much larger than its immediate business potential. It provides Raymond an entry into the high-value aircraft structures segment while maintaining capital efficiency. More importantly, it gives us an opportunity to establish critical execution credentials that can position Raymond's subsidiaries for participation in larger aerospace programs in India and globally. Our focus will be on execution excellence and building this capability into a scalable growth platform."
Investors seem on board too: Raymond's stock got a quick boost after the news.
This could open doors for more aerospace projects in India and beyond.