Bharat Forge up nearly 5 pc as JV firm bags USD 100 mn contract

Shares of Bharat Forge Thursday surged nearly 5 per cent after it said its joint venture firm Kalyani Rafael Advanced Systems has bagged a USD 100 million (Rs 684 crore) contract for manufacturing missile kits for Indian Army and Airforce.

The scrip rose 4.76 per cent to close at Rs 464.30 on the BSE. During the day, it surged 5.11 per cent to Rs 465.85.

On the NSE, the shares ended at Rs 462.60 with a gain of 4.38 per cent.

In terms of traded volume, 1.31 lakh shares were traded on the BSE, while over 21 lakh shares changed hands on the NSE during the day.

Bharat Forge Thursday said Kalyani Rafael Advanced Systems (KRAS) has bagged a USD 100 million (Rs 684 crore) contract from Israel's Rafael Advanced Defence Systems for manufacturing 1,000 BARAK-8 MRSAM missiles' kits for the Indian Army and Air Force.

KRAS is a 49:51 ratio joint venture between RAFAEL Advanced Systems and Kalyani Strategic Systems (KSSL), with the Indian partner holding 51 per cent.

KSSL is a 51 per cent subsidiary of Bharat Forge Limited.

"Keeping with its commitment to 'Make-in-India', the JV partners have invested in best in class production facilities, state of the art engineering services, and extended life cycle support (MRO) for systems supplied to Indian defence force," Bharat Forge said in a regulatory filing.