Adani Defence Systems and Technologies (ADSTL) has announced the acquisition of an 86% stake in Air Works, India’s largest private sector aircraft maintenance, repair, and overhaul (MRO) company, for approximately ₹400 crore. The deal marks a strategic move to strengthen the Adani Group’s footprint in India’s growing aviation sector.
Air Works: A Key Player in India’s MRO Landscape
Air Works, which employs over 1,300 professionals, plays a crucial role in the MRO services for both commercial and defence aircraft. The company is well-regarded for its base maintenance operations on narrow-body and turboprop aircraft, as well as rotary-wing aircraft. With facilities located in Hosur, Mumbai, and Kochi, Air Works is a trusted name in the industry, having secured regulatory approvals from civil aviation authorities in over 20 countries.
The company’s capabilities are poised to expand as the Indian aviation sector continues its rapid growth. According to experts, the need for MRO services will skyrocket as Indian airlines prepare to induct more aircraft in the coming years, with over 1,500 commercial aircraft orders already placed in the past two years.
Growing Demand in India’s Aviation Market
Jeet Adani, Director of Adani Airports, emphasized the strategic importance of the acquisition in light of India’s booming aviation market. He noted that India is now the third-largest aviation market globally and is on track to add over 1,500 new aircraft in the near future.
“For us, creating a presence in the MRO sector is more than just a strategic step—it’s a commitment to building an integrated aviation services ecosystem that strengthens the backbone of India’s aviation infrastructure,” Jeet Adani remarked. “We are excited to play a pivotal role in shaping the future of India’s skies.”
As Indian carriers ramp up their fleets, the demand for MRO services is expected to surge. This acquisition places Adani Defence in a prime position to cater to the sector’s needs, ensuring timely and quality maintenance services for a growing number of aircraft.
A Transformative Time for India’s Aviation Sector
The Indian aviation market is currently undergoing a transformative phase. Domestic carriers such as IndiGo and privatised Air India now dominate the market, collectively holding more than 90% of the passenger share. IndiGo has recently ordered 500 planes from Airbus, while Air India placed an order for 570 aircraft. Furthermore, Akasa Air has made a significant commitment with an order of 150 planes from Boeing.
This rapid fleet expansion signals a promising future for the MRO industry, as the growing number of commercial aircraft will need comprehensive and regular maintenance. The Adani Group’s strategic entry into this sector aligns with its long-term vision to build a robust aviation services infrastructure in India.
In addition to Air Works’ established expertise, the deal is expected to provide a significant boost to the Adani Group’s aviation portfolio, enhancing its position in a sector that is poised for rapid growth. As India continues to evolve as a global aviation hub, the need for comprehensive and efficient MRO services will become more pressing, making this acquisition a timely and necessary move for Adani Defence.
