April 22, 2026: Unimech Aerospace and Manufacturing Limited has approved an investment of up to ₹450 crore to acquire the Hobel Bellows business, marking a strategic expansion into engineered assemblies and advanced manufacturing.
The acquisition will be executed jointly with its wholly owned subsidiary, Innomech Aerospace Toolings Private Limited. The companies will acquire stakes in Hobel Bellows Private Limited, which will subsequently take over 99.99% partnership interest in Hobel Bellows Co. Under the structure, Unimech Aerospace will hold a 24% stake, while Innomech Aerospace Toolings will own the remaining 76% in Hobel Bellows Private Limited.
Deal Structure and Financials
The total investment of ₹450 crore will be deployed through a mix of equity, compulsorily convertible debentures (CCDs), and loans. Of this, ₹8 crore will be infused as equity, ₹387 crore via CCDs, and ₹55 crore as loans. The consideration will be paid in cash, potentially in multiple tranches. The transaction is expected to be completed within seven days and does not fall under related-party transactions.
Strategic Rationale
Hobel Bellows operates in the manufacturing of metallic bellows and flexible tubing assemblies used across aerospace engines, turbomachinery, defence platforms, automotive engines, and industrial systems.
For Unimech Aerospace, which specializes in precision machined components for aerospace and energy sectors, the acquisition represents a natural extension into higher value-added products. The move is expected to help the company transition from component manufacturing to integrated engineered assemblies.
Additionally, the deal provides access to advanced manufacturing capabilities such as hydroforming, thin-wall metal forming, high-temperature alloy processing, precision TIG welding, multi-layer metal forming, and fatigue and leak testing.
About the Target Business
Hobel Bellows Co., established in 2007, reported a turnover of ₹123.74 crore in FY26, compared to ₹117.25 crore in FY25 and ₹100.99 crore in FY24, indicating steady growth. The business serves applications in high-horsepower diesel engines, locomotives, marine engines, and power generation equipment. Hobel Bellows Private Limited, incorporated in January 2026, will act as the acquisition vehicle for consolidating the partnership firm’s operations.
Outlook
The acquisition is aligned with Unimech Aerospace’s strategy to deepen its presence in the aerospace and energy value chain while expanding into adjacent high-precision manufacturing segments. By integrating bellows and flexible assembly capabilities, the company aims to enhance its product portfolio and tap into growing demand across defence, aerospace, and industrial sectors.