Bharat Electronics Ltd. to Form Joint Venture with Safran Electronics and Defense, France

Bharat Electronics Limited (BEL) has announced that its Board of Directors has approved the signing of a Joint Venture Agreement (JVA) with M/s. Safran Electronics and Defence (SED), France for Project HAMMER. The JV will incorporate a Private Limited Company under the Companies Act, 2013, with the primary purpose of operating a 'Center of Excellence' for the manufacturing, supply, maintenance, and repair of the Guidance Kit (GK) of HAMMER Weapon System. The registered office and principal place of business will be in Pune or any other mutually agreed location. The primary 'End Users' are the Indian Air Force and Indian Navy. The equity will be split 50:50 between BEL and SED. The Board will consist of 4 Directors; 2 nominated by BEL and 2 by SED. The Chairman is appointed by the nominees but does not have a casting vote. The operationalisation of the provisions of JV agreement is subject to regulatory and administrative approvals from both the Countries.