Hughes Precision Manufacturing Pvt Ltd, a private-sector ammunition manufacturer in India, has completed an investment round of more than ₹250 crore through a combination of primary and secondary investment from a group of ultra-high-net-worth individuals (UHNIs). The investment will support the company’s next phase of growth, including the expansion of its small-calibre ammunition manufacturing capacity from around 80 million rounds to 220 million rounds. The company will also establish a dedicated manufacturing facility for medium-calibre ammunition.
The entry into medium-calibre ammunition will expand Hughes Precision’s product portfolio beyond its existing small-calibre business. The new facility is planned to serve requirements from the Indian Armed Forces and international defence customers. The investment will also help the company increase manufacturing capacity, develop new products and strengthen its capabilities in quality, technology and production. Hughes Precision plans to build on its existing small-calibre manufacturing base and expand into a wider range of ammunition products.
The company expects the expansion to benefit from growing demand for locally manufactured defence products in India as well as opportunities in international markets. The strategy is focused on serving domestic defence requirements while building products for approved global customers.
Hughes Precision’s order book has crossed ₹1,000 crore, providing visibility for the planned expansion. Around 60% of the current orders are from the Indian market, while the remaining 40% are export orders. Domestic orders include requirements from the Indian Army, police and paramilitary forces. The current order book is expected to be executed over approximately two years. The company offers a wide range of small-calibre ammunition and is also an Indian manufacturer and exporter of high-precision sniper ammunition for specialised defence applications.
Sanjay Soni, Managing Director, Hughes Precision, said, “This investment marks an important milestone in Hughes Precision’s journey. We started with a clear objective – to build an Indian ammunition company capable of manufacturing products to the highest international standards. The new capital allows us to move into the next phase of that journey – significantly expanding our small-caliber capacity, entering medium-caliber ammunition and continuing to invest in manufacturing, quality, technology and people.” STEER Advisors acted as the sole advisor to Hughes Precision for the transaction.
Established in 2016, Hughes Precision is an integrated ammunition manufacturer serving defence, law-enforcement and approved international customers. The company supplies customers in more than 20 countries across North America, Europe, the Middle East, Africa and Asia. Its R&D division is recognised by the Department of Scientific and Industrial Research (DSIR), Government of India, as an R&D centre for excellence in ammunition. The company received the Highest Export Performance award in the Defence MSME sector last year.
