Tata Group's engineering services outsourcing (ESO) and product development IT services company INCAT, and public sector aerospace supplier Hindustan Aeronautics Limited (HAL), have agreed to launch an engineering and aero structure design joint venture, INCAT-HAL Aerostructures Limited.
The agreement was signed between HAL and Tata Technologies, INCAT's parent company, and will be based in Bangalore.
Both HAL and Tata Technologies will contribute 50 per cent to the equity in the new venture.
"The global aerospace industry is realising the value of adopting an outsourcing-based business model, not simply to achieve cost reductions, but to speed time to market while maintaining quality," said INCAT CEO Warren Harris. "This joint venture, leveraging the strengths of both companies, creates an organization capable of delivering outstanding value to clients within the global aerospace market."
Founded in 1989, INCAT is a global provider in engineering services outsourcing (ESO) and product development provider to the world's largest automotive, aerospace and durable goods manufacturers. It provides services and solutions for product lifecycle management (PLM) and information lifecycle management (ILM) that create value for its clients through its global delivery model
"The objective of this joint venture is to undertake work packages related to engineering design services in aerostructures and also the captive offshore and on-site work load of both partners from aerospace OEMs, including offset programs," said M. Fakruddin, HAL, director, corporate planning and marketing.
"HAL and INCAT are set to capitalise on the global aerospace demand by leveraging their combined core strengths - HAL's offset business, and INCAT's global offshore / on-site engineering business," added Patrick McGoldrick, managing director, Tata Technologies, INCAT's parent company.
INCAT is headquartered in the United States (Novi, Mich.), India (Pune) and Germany (Stuttgart). Tata Technologies is headquartered in Singapore. INCAT has a combined global work force of more than 3,000 employees serving clients worldwide from facilities in North America, Europe and the Asia-Pacific region www.incat.com.
Hindustan Aeronautics is currently ranked 34th among the world's top 100 defence companies with proven capabilities in R&D, manufacturing and maintenance of fighters, trainers, transport aircraft, helicopters, engines and associated systems. It is currently engaged in developing an indegenous intermediate jet trainer, a light combat helicopter, multi-role transport aircraft and next generation fighter aircraft.