Aequs Limited has signed a non-binding memorandum of understanding (MoU) with Guidance, the nodal agency of the Government of Tamil Nadu, to establish a large-scale Aerospace & Defence manufacturing cluster at SIPCOT Shoolagiri in Krishnagiri district. The agreement was executed on 16 February 2026 and covers the manufacture of components for aircraft engines, landing gear and systems in the state.
Aequs Limited specified in a stock exchange filing that the company, along with partners, proposes to invest up to INR 19 billion in manufacturing components for aircraft engines, landing gear and systems over the next ten years. “Aequs, along with its partners, will invest up to INR 4,000 crore,including INR 1,900 crore from Aequs Limited as the anchor investor to establish integrated manufacturing facilities,” stated an update from the Tamil Nadu Government.
The cluster will focus on aero-engine components, landing gear systems, ultra-precision machining, and advanced aerospace systems and sub-assemblies. The project is expected to generate 7,000 jobs.
Under the terms outlined in the filing, the Government of Tamil Nadu will provide facilitation and infrastructural support, including uninterrupted power supply on a best-effort basis, subject to applicable laws. Standard incentives under the existing state policy will apply. The company said the arrangement does not constitute a related party transaction.
Aequs Limited, formerly known as Aequs Private Limited, has its registered office in Bengaluru and its corporate office in Belagavi.
