HFCL Strengthens BharatNet Presence with ₹2,666 Crore Broadband Infrastructure Contract

$HFCL has secured a major contract worth approximately ₹2,666.09 crore from Rail Vikas Nigam Limited ($RVNL) for the BharatNet Phase-III project in the Uttar Pradesh (West) Telecom Circle, further strengthening its role in India’s digital infrastructure expansion. The project includes the supply, installation and commissioning of telecom equipment, creation of an optical fiber cable network, and long-term maintenance support. The contract consists of a capital expenditure component of ₹1,192.82 crore and an operating expenditure component of ₹1,473.27 crore. The implementation phase is scheduled to be completed within two years, followed by 10 years of operations and maintenance, including a one-year warranty period. This order comes in addition to HFCL’s earlier BharatNet Phase-III contract worth ₹2,167.65 crore awarded in January 2025, taking the company’s cumulative BharatNet project wins to over ₹4,833 crore. Alongside its telecom growth initiatives, HFCL is also expanding its defence and aerospace business through HFCL Advance Systems Private Ltd (HASPL), where a total investment of ₹175 crore is planned. Upon completion, HFCL will hold a 51.02% stake in HASPL, while ITI Holdings and the proposed HFCL Advance Employee Trust will each hold 14.99%, Anant Nahata will own 6.50%, Sushant Mohan Gupta and Shubhra Gupta will each hold 4.75%, and BAS Engineering will hold 3%. These developments highlight HFCL’s strategic focus on building long-term capabilities across both digital connectivity and defence technology segments. Disclaimer: This post is for informational purposes only and not a recommendation to buy or sell any securities. I, or my family, associates, or relatives, may have a financial interest in the securities mentioned.