Happy Forgings Limited (HFL), recently announced that its Board of Directors’ has approved a capital investment of up to Rs. 650 crores to establish advanced forging capabilities to serve the non-automotive industrial segment. This new facility as per an official release from the company will be the first of its kind in Asia and the second largest globally.
Happy Forgings is one of India’s largest engineering-led manufacturers of complex, safety-critical, heavy-forged, and high-precision machined components.
This capex investment is focused towards heavy forged and machined components such as large crankshafts for industrial and marine applications, as well as other heavy components like axles, gears, oil & gas valves and flanges, spindles, connectors and shafts etc.
With this investment, the company will expand into the higher-weight segment, producing components up to 3,000 kilograms.
The total capital expenditure for this facility will be spread over the next 2–3 years, primarily financed through internal accruals and partially through debt, with production anticipated to commence by the end of FY2027.
Commenting on the decision Mr. Ashish Garg, Managing Director of Happy Forgings Ltd, said ‘We believe that this investment will accelerate our growth in the Industrials segment, enhance profitability, and strengthen our export footprint while delivering value to all our stakeholders’.