Unimech Aerospace and Manufacturing Limited has announced a strategic investment of ₹450 crore to acquire Hobel Bellows Co., a partnership firm specializing in metallic bellows and flexible tubing assemblies. The acquisition, executed through a new subsidiary, allows Unimech to expand its manufacturing capabilities into engineered assemblies. This deal, aimed at enhancing value-added offerings for the aerospace and energy sectors, is expected to be completed within 7 days.
Expanding Capabilities
To bolster its position in the precision manufacturing value chain, Unimech Aerospace and Manufacturing Limited is acquiring Hobel Bellows Co. The transaction is being facilitated through a newly incorporated subsidiary, Hobel Bellows Private Limited, in which Unimech Aerospace holds a 24% stake and its subsidiary, Innomech Aerospace Toolings Private Limited, holds the remaining 76%. This entity will subsequently acquire a 99.99% partnership interest in the target firm.
Strategic Rationale and Technology
The acquisition marks a pivotal shift for Unimech, moving the company up the value chain from standalone machined components to integrated engineered assemblies. The move provides immediate access to specialized manufacturing technologies, including hydroforming, thin-wall metal forming, precision TIG welding, and multi-layer metal forming. These processes are critical for the production of components used in aerospace engines, turbomachinery, and power generation units.
Investment Breakdown
The total investment of ₹450 crore is structured across three components to fuel the acquisition and future operations. This includes ₹8 crore in equity shares, ₹55 crore in loans, and ₹387 crore in Compulsorily Convertible Debentures (CCDs). Both equity shares and CCDs are issued at par at ₹10 per unit.
Target Financial Profile
The acquired business brings a stable financial history, with consistent revenue growth over the past three fiscal years. Hobel Bellows Co. reported a turnover of ₹100.99 crore in FY2023-24, rising to ₹117.25 crore in FY2024-25, and reaching ₹123.74 crore for the year ending March 31, 2026.
Source: BSE
