HFCL Limited has received approval from the Andhra Pradesh State Investment Promotion Board for a 1,000-acre land allotment in the Sri Sathya Sai district. 

This move is a strategic diversification for the company, which has traditionally focused on telecommunications. 

The new facilities will manufacture a range of defense products, including Artillery Ammunition Shells, TNT filling, and Multi-Mode Hand Grenades (MMHG), supporting the "Make in India" initiative.

The land allotment is part of a broader effort by the Andhra Pradesh government to attract investments and establish the state as a defense and aerospace manufacturing hub. 

The state has also announced plans for a "space city" in Tirupati. While HFCL's shares have shown recent volatility, this long-term investment positions the company to capitalize on the growing domestic defense sector, which is being driven by the government's focus on indigenization.