The government of India has decided to sign a deal with Hindustan Aeronautics Limited (HAL) worth Rs.48,000 crore to acquire 83 Tejas light combat aircraft (LCA), following which the shares of HAL increased by 2% intraday, according to PTI.
The aircraft are meant for the Indian Air Force (IAF). The contract will be signed in Bengaluru at Aero India air show. The Defence Minister along with the senior IAF officers and senior officials of HAL will be in attendance. The deal was approved by the Cabinet Committee on Security (CCS), which is chaired by PM Narendra Modi on 13th January.
The cost includes design and development cost worth Rs.2,500 crore which will be given to the Aeronautical Development Agency (ADA). The stock of HAL increase by 2.81% at Rs.959.55.
