Having the Narendra Modi government permitting 49% FDI in defense sector to boost domestic manufacture under its `Make in India' scheme, the Rs 15,000 core Kalyani Group is formatting a joint venture with Israel's Rafael Advanced Defense Systems Ltd near Hyderabad to produce missiles, remote weapon systems and developed rumour solutions.
The 51:49 JV will possess the technology transferred from Rafael to produce Spike missiles for the Indian armed forces.
This is one of the initial JV in the defense zone after the NDA government raised the foreign direct investment (FDI) cap in defense to 49 per cent from 26 per cent in July 2014, Kalyani Group chairman and managing director Baba Kalyani told reporters at the Aero India 2015 trade expo at the Yelahanka base of the Indian Air Force (IAF).
The multiple benefit missiles will be provided to the Hyderabad-based Bharat Dynamics Ltd (BDL) for unifying with weapon systems of the three Indian defense services.
