BEL and Safran Forge Joint Venture for HAMMER Weapon System

Bharat Electronics Limited and Safran Electronics and Defence have teamed up to form a joint venture to work on the HAMMER weapon system. The entities will equally share the venture, focusing on manufacturing and maintaining guidance kits. Regulatory approvals from India and France are awaited.

Bharat Electronics Limited (BEL) has received board approval to enter a Joint Venture Agreement (JVA) with France's Safran Electronics and Defence, aimed at advancing the HAMMER weapon system project. This pivotal decision, confirmed in a recent stock exchange filing, marks a significant step in defense collaboration between the two nations.

Under this agreement, BEL and Safran will create a new private limited company, established in accordance with the Companies Act, 2013. This entity, likely based in Pune or another jointly chosen location, will serve as a 'Center of Excellence' focusing on technological advancements and partnerships.

The joint venture will primarily target the manufacturing, supply, and repair of the Guidance Kit for the HAMMER weapon system, serving the Indian Air Force and Navy as its primary users. Both companies will equally own the venture, operating with an initial share capital that could expand significantly to meet business needs.

(With inputs from agencies.)