Shares of defence companies, including Bharat Electronics Ltd. (BEL), Bharat Dynamics Ltd. (BDL), Hindustan Aeronautics Ltd. (HAL), Larsen & Toubro (L&T), Bharat Forge, Astra Microwave Products and Data Patterns, were trading higher on Tuesday, October 27, after the Defence Acquisition Council (DAC) cleared capital acquisition proposals worth ₹2.12 lakh crore for the armed forces.
The approvals cover a range of defence equipment and systems, including artillery and mobility platforms, helicopters, air-defence and counter-drone systems, surveillance unmanned aerial vehicles (UAVs), integrated surveillance and strike systems, and long-range kamikaze drones.
The latest approvals add to the government’s defence procurement pipeline. The DAC cleared proposals worth ₹52,000 crore in July and another ₹1.1 lakh crore in September. With the latest clearance, the cumulative value of Acceptance of Necessity (AoN) approvals during FY27 so far, from April to October 2026, has reached ₹3.84 lakh crore.
The approvals span several segments, including aerospace, naval propulsion, radars, electronic warfare and unmanned platforms, and are expected to support the long-term domestic defence order pipeline.
Key potential beneficiaries
Bharat Electronics, Astra Microwave Products and Data Patterns: The latest proposals include Gun Shot Response Systems (GSRS), for which these companies have been identified as potential beneficiaries. BEL is also linked to the High Mobility Vehicles (HMVs) proposal.
Larsen & Toubro and Bharat Forge: Both companies are among the potential beneficiaries of the proposal for Self-Propelled Tracked Gun Systems.
Hindustan Aeronautics: HAL is linked to the proposal for Light Multi-Role Helicopters (LMRH).
Bharat Dynamics, BEL, L&T and Astra Microwave Products: These companies are potential beneficiaries of the Very Short-Range Air Defence Systems (VSHORADS) proposal.
Zen Technologies, BEL and Paras Defence: The Platform-Based Counter-Unmanned Aerial Systems (C-UAS) proposal covers this segment.
Bharat Forge and Solar Industries India: Both companies are linked to the Long-Range Kamikaze Drone Systems proposal.