HAL Shares Climb as Company Refutes Report on GE414 Engine Deal

Hindustan Aeronautics Limited (HAL) shares opened strong on June 5, 2025, at ₹5,000 and surged to an intraday high of ₹5,048.10, reflecting a 1.32% gain from the previous close of ₹4,959.80.

The stock was trading at ₹5,025.10 as of 9:50 on the NSE, supported by a volume-weighted average price (VWAP) of ₹5,018.90.

HAL Stock Gains on Clarification

Hindustan Aeronautics Limited issued a strong denial of a media report suggesting its negotiations with General Electric (GE) had hit a roadblock. The state-owned aerospace and defence firm called the report “factually incorrect and misleading.”

HAL’s Responds to “Misleading” Article

According to Hindustan Aeronautics Limited’s official statement, the article falsely claimed that talks for the local production of GE414 engines had stalled and implied that HAL was now considering an alternative engine supplier.

The company categorically denied these claims, stating, “HAL would like to clarify that this report is factually incorrect and misleading. Discussions with GE are on track and progressing well.”

HAL’s Ongoing Collaboration with GE

HAL reaffirmed that it is not in discussions with any other company regarding engines for the Light Combat Aircraft (LCA) Mk2. The partnership with GE remains intact under a Memorandum of Understanding (MoU) signed in June 2023 during Prime Minister Narendra Modi’s state visit to the US.

HAL’s Key Defence Milestone

The MoU outlines the potential for joint production of GE’s F414 fighter jet engines in India. The deal is a key component of India’s LCA Mk2 programme and is viewed as a major step toward strengthening India–U.S. defence cooperation and boosting indigenous defence capabilities.

HAL and GE’s Long-Term Presence in India

GE Aerospace has maintained a strong presence in India for over 40 years. Its facilities include the John F. Welch Technology Centre in Bengaluru and the Multi-modal Factory in Pune. The company is actively involved in engine manufacturing, avionics, engineering, and services.

Read More: Best Defence Stocks In India In June 2025: HAL, BDL, Nibe, Sika, and More Based on 5-Yr CAGR.

Conclusion

Hindustan Aeronautics Limited’s swift and clear clarification helped calm investor concerns and contributed to a positive movement in its share price. The reaffirmation of its ongoing partnership with GE for the GE414 engine underlines HAL’s commitment to strengthening domestic defence capabilities through strategic global collaborations.

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