Avantel Wins ₹117.88 Crore DRDO Contract for Ground Segment Hub
Avantel Limited has secured a ₹117.88 crore contract from the Defence Research and Development Organisation (DRDO), Ministry of Defence, Government of India, strengthening its presence in defence communication and satellite-related infrastructure.
The company disclosed the contract on August 29, 2026, under Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015.
₹117.88 Crore Contract from DRDO
Avantel has received a contract dated August 29, 2026, from DRDO for the Development, Installation and Commissioning of a Ground Segment Hub for voice and data communication.
The total contract value stands at:
₹117.88 crore, including applicable taxes.
The order has been awarded by a domestic government entity, making it another important defence-sector contract for the company.
What is the Scope of the DRDO Order?
The contract involves the development of a Ground Segment Hub, which is intended to support voice and data communication.
The scope covers:
- Development of the Ground Segment Hub
- Installation of the system
- Commissioning of the system
- Voice and data communication capabilities
- A 36-month warranty period
The project is scheduled to be executed by February 2029.
DRDO Order Adds to Avantel’s Defence Business
The latest contract further strengthens Avantel’s position in India’s growing defence electronics and communication ecosystem.
The company operates in areas related to satellite communication, defence communication, radar systems and other specialised communication technologies. Government and defence-sector contracts are an important part of the opportunity landscape for companies operating in these segments.
The DRDO order is particularly significant because it involves communication infrastructure for a government defence organisation.
₹117.88 Crore Revenue Opportunity
At ₹117.88 crore including taxes, the contract provides Avantel with additional order visibility through February 2029.
However, investors should note that the disclosed contract value is inclusive of applicable taxes, and the actual revenue recognition will depend on the execution schedule and applicable accounting treatment.
The 36-month warranty period also indicates that Avantel’s engagement extends beyond the initial development, installation and commissioning phase.
No Related Party Transaction
According to the company’s disclosure, the promoter/promoter group/group companies’ interest in the awarding entity is not applicable.
The company has also stated that the contract does not fall under related party transactions.
Why the Order Matters for Investors
The order highlights several important factors for investors tracking Avantel:
1. Defence sector exposure:
The contract strengthens the company’s presence in defence communication infrastructure.
2. Government customer:
DRDO, under the Ministry of Defence, is the awarding entity.
3. Order visibility:
The project has an execution timeline extending up to February 2029.
4. Large contract size:
The ₹117.88 crore contract represents a meaningful addition to Avantel’s project pipeline.
5. Communication infrastructure opportunity:
The Ground Segment Hub project reflects the continuing requirement for specialised communication systems in India’s defence ecosystem.
Point to consider
Following the contract win, investors may track:
- Avantel’s overall order book
- Further defence and government orders
- Execution progress of the DRDO contract
- Revenue growth from defence communication projects
- Operating margins and profitability
- New satellite and communication infrastructure opportunities
- Capacity and technology investments
Summary
Avantel has secured a ₹117.88 crore contract from DRDO for the Development, Installation and Commissioning of a Ground Segment Hub for voice and data communication.
The project is scheduled for completion by February 2029 and comes with a 36-month warranty period.
The order adds to Avantel’s defence-sector business pipeline and provides multi-year execution visibility. Investors should monitor the company’s subsequent order wins and execution performance to assess how this contract contributes to future revenue and profitability.