Canadian Magellan Aerospace Corp ties-up for India-based manufacturing site – eyes military offset contracts

18 Apr 2008

1

Embattled Canadian aerospace manufacturer, Magellan Aerospace Corp, says it's taking steps toward recovery, through a share consolidation programme as well as through a lower-cost production site in India to build aircraft parts.

Mississauga, Ontario, Canada-based Magellan Aerospace Corporation is a leading global supplier of technologically advanced aerospace systems and components.

"To enable the production of finished parts in India, Magellan teamed with a local partner to establish an Indian entity, through which a process facility is being built," the Mississauga-based company said in its annual report, released on 16 April. "The facility will be operational late in 2008."

According to market analysts, Magellan's India operation will clear the way for the company to diversify its supply chain and bid on new contracts, especially military work.

"The big picture is that the Indian government is actively looking at purchasing new military aircraft," he said, noting that Magellan could benefit as a parts supplier to an airplane manufacturer that wins Indian contracts.

Analysts had been pessimistic about Magellan, amid worries of rising manufacturing costs. But news of its recently established India connection have perked up the stock.

As one of the most integrated and comprehensive aerospace industry suppliers in the world, Magellan designs, engineers and manufactures a wide range of aeroengine and aerostructure components for aerospace markets, advanced products for military and space markets, and complementary proprietary products for the power/oil/gas markets.

Business History Videos

History of hovercraft Part 3...

Today I shall talk a bit more about the military plans for ...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of hovercraft Part 2...

In this episode of our history of hovercraft, we shall exam...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of Hovercraft Part 1...

If you’ve been a James Bond movie fan, you may recall seein...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of Trams in India | ...

The video I am presenting to you is based on a script writt...

By Aniket Gupta | Presenter: Sheetal Gaikwad

view more