Hinduja group's flagship company Ashok Leyland has joined hands with French firm Nexter Systems and Larsen & Toubro (L&T) to develop artillery system for the Indian Army.
"Nexter Systems, L&T and Ashok Leyland Defence Systems have signed a consortium agreement to collaborate for the Mounted Gun System (MGS) artillery programme of the Indian Army," Ashok Leyland said in a filing to the BSE.
Under the pact, L&T would act as the prime contractor and Nexter will transfer the final integration and production of the MGS in India to L&T, it added.
The system proposed by the consortium for the MGS programme is a version of 'Caesar artillery system' from Ashok Leyland.
"The partnership among the three companies is based on delivering the best solution and value to the Indian Army," the company said.
The customisation of the systems to fulfill specific Indian requirements will be done in co-operation among the three companies, it added.
Ashok Leyland has established Ashok Leyland Defence System Ltd specifically to address requirement for specialist vehicles meant only for the defence forces and security agencies.
The company's scrip closed at Rs 32.65, down 1.51 per cent, on the BSE.
