SETL Forges Global Ambition with Strategic ₹70 Crore Investment in Japan’s GL Hakko
Standard Engineering Technology Limited (SETL) has taken a major step in its international growth strategy by investing ₹70 crore in GL HAKKO Co., Ltd., a leading Japanese manufacturer of glass-lined process equipment.
The investment, announced on July 7, 2026, gives the Hyderabad-based engineering company an initial 19.19% equity stake in GL HAKKO. The partnership is expected to strengthen SETL’s technological capabilities while expanding its presence in the global pharmaceutical and chemical equipment market.
Option to Increase Stake to 51.07%
As part of the agreement, SETL has also secured the right to increase its ownership in GL HAKKO to 51.07% within the next three years.
The company plans to invest an additional ₹116.7 crore to acquire the controlling stake, with the investment expected to be funded through internal accruals.
The proposed increase in ownership reflects SETL’s long-term commitment to building a stronger global presence in the engineering equipment sector.
Strengthening Glass-Lined Equipment Manufacturing
The strategic partnership supports SETL’s objective of expanding its glass-lined equipment business and enhancing its manufacturing capabilities.
The investment will enable GL HAKKO to increase production capacity in several high-value engineering segments, including:
- Glass-lined shell and tube heat exchangers
- Semiconductor-grade process equipment
- Advanced manufacturing facilities
- Clean-room assembly infrastructure
These capabilities are expected to support growing demand from pharmaceutical, specialty chemical, and semiconductor industries.
Expanding Opportunities in High-Growth Markets
One of the key focus areas of the partnership is the production of glass-lined shell and tube heat exchangers, a specialized product used in pharmaceutical and chemical processing industries.
According to the company, this segment represents a significant market opportunity, with an estimated addressable market of around ₹2,000 crore in India and nearly US$2 billion globally.
The companies also plan to develop process equipment for semiconductor manufacturing, a rapidly growing industry driven by increasing investments in advanced chip production worldwide.
Combining Japanese Technology with Indian Manufacturing
Founded in 1955, GL HAKKO is recognized in Japan for its expertise in glass-lined process equipment and proprietary manufacturing technologies.
Its technical capabilities include advanced glass-lining processes, conductivity glass technology, and electromagnetic stirring systems. Through the partnership, SETL expects to strengthen its product portfolio while gaining access to specialized engineering expertise.
Commenting on the investment, Nageswara Rao Kandula, Managing Director of SETL, said the collaboration reflects the shared vision of building a global engineering solutions platform for the pharmaceutical and chemical industries.