Reliance Defence to form joint venture with France's Thales for Rafale Contract

Key Highlights: 

• Reliance Defence to develop 49:51 joint venture with France's Thales
• Reliance Defence partners with Yugoimport to manufacture Rs 20,000 crore worth ammunition 
• Share price of Reliance Defence gains

Reliance Infrastructure on Wednesday announced its subsidiary Reliance Defence's intention to form a joint venture with France's Thales.

The joint venture is expected to develop Indian capabilities to integrate and maintain the Radar and Electronic Warfare sensors for Rafale jets.

Anil Ambani, Chairman Reliance Group said, “Thales is another major milestone in our march towards best in the class manufacturing at support facilities for Military hardware in India."

Patrice Caine, Chairman and CEO, Thales, said, “This JV resonates with our strategy to strengthen our industrial footprint in the country by building collaborations with the Indian industry."

The JV will develop skills and activity in the Special Economic Zone of Mihan-Nagpur. 

Set up with a long term strategy to serve the Indian needs, this partnership between Thales and Reliance Defence Limited will strengthen the Prime Minister Narendra Modi’s “Make in India” vision, said the company. 

On June 20, 2017, Reliance Defence Ammunition has entered into a strategic partnership with Serbia's Yugoimport to work together in the field of ammunition with projected minimum requirement of Rs 20,000 crore over next 10 years from Indian armed forces.

Share price of Reliance Defence & Engineering surged by nearly 3% on BSE after the announcement.