NEW DELHI (Reuters) - BAE Systems said on Wednesday it had chosen Indian conglomerate Mahindra Group to build a plant for the assembly of its M777 Ultra Lightweight Howitzer artillery guns that it wants to sell to India.
India and the United States, where BAE manufactures the weapons, are in advanced-stage talks for the sale of 145 M777s in a deal expected to be worth more than $700 million.
New Delhi is trying to replenish its range of artillery weapons after years of delays in ordering new equipment for depleted supplies.
Prime Minister Narendra Modi has vowed to upgrade the country's military hardware, but wants deals with foreign companies to include the setting up of factories and plants in India to boost local industry, and the transfer of technology.
Under the proposal, Mahindra will run an assembly, integration and testing facility for the 145 Howitzers, BAE said in a statement.
(Reporting by Tommy Wilkes; Editing by Gopakumar Warrier)
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app