The Board of HFCL at its meeting held on 25 July 2025 has approved fund raising up to Rs 700 crore in one or more tranches and/or one or more issuances simultaneously or otherwise, by way of an issue of fully paid-up equity shares, any other equity based instruments or securities.

The objective of the fund raising is to effectively leverage emerging growth opportunities in the defence and telecommunications sectors, including strategic investments, and to further strengthen the Company's capital base and financial position. The proceeds from the proposed fund raising will, inter alia, be strategically deployed to support various initiatives central to the Company's growth agenda, including expansion through organic and inorganic means, acquisitions in related space, new business opportunities, and other strategic initiatives, repayment of debt, working capital, general corporate purposes.