Business Daily from THE HINDU group of publications
Tuesday, Jul 11, 2006


News
Features
Stocks
Cross Currency
Shipping
Archives
Google

Group Sites

Corporate - Alliances & Joint Ventures
Logistics - Airlines
Samtel, HAL to form joint venture co

Our Bureau

For developing, manufacturing avionics display systems


JOINING HANDS: Mr Satish Kaura (right), CMD, Samtel, with Mr K.P. Singh (centre), Secretary, Defence, and Mr Ashok K. Baweja (left), Chairman, HAL, after signing a joint venture agreement in the Capital on Monday. - Kamal Narang

New Delhi , July 10

Electronics display systems manufacturer Samtel on Monday entered into a joint venture agreement with aviation major Hindustan Aeronautics Ltd for developing and manufacturing avionics display systems.

Samtel would be the majority shareholder in the joint venture, Samtel-HAL Display Systems, with 60 per cent stake and the balance will be held by HAL.

Commenting on the joint venture, the Samtel Chairman and Managing Director, Mr Satish Kaura, said the company would make investments in the joint venture in two phases and the avionics products would be marketed initially for domestic requirements and then later in the global markets.

Investment plan

"There will be two levels of investments, with a minimal initial investment on infrastructure and bigger investments on research and development for developing the products," Mr Kaura said.

The company, however, is expected to invest about Rs 5-6 crore initially on the manufacture of the avionics display system at its Ghaziabad facility and is targeting to garner revenues of about Rs 300 crore in the next five years.

It will manufacture Multi-Functional Displays and Head-Up Displays required for HAL's star programmes like intermediate jet trainers (IJT), light combat aircraft (LCA) and SU-30 MKI.

The HAL Chairman, Mr Ashok K. Baweja, said the joint venture would synergise the capabilities of the two companies to become a globally competitive business entity, adding that the joint venture was a significant step towards developing indigenous next-generation MFDs, HUDs and Helmet-Mounted Targeting Systems (HMTS).

This is the first public-private partnership in the area of Defence Avionics.

More Stories on : Alliances & Joint Ventures | Airlines

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page



Stories in this Section
Prajay Engineers allots shares


BHEL bags Tata Power contract
DS Const bags NHAI project
Kohl's to step up sourcing from Celebrity Fashions
Transfer of Royal Enfield unit: Eicher gets board nod
VBC to consider revamp, merger
Stokvis Tapes acquires Prostick Adhesives
Ranbaxy set to acquire equity stake in Zenotech
AITUC to back Vizag steel plant capacity expansion
Suryalakshmi expansion project takes off
Tata group may suspend projects in Bangladesh
Indo Asian enters Sri Lankan market
Reliance's FLAG Telecom bags China Netcom deal
Samtel, HAL to form joint venture co
SpiceJet, Galileo sign pact to offer low fares
Toyota Kirloskar launches rural water project
Blackstone invests $50 m in Emcure
Seabuckthorn Indage plans home, personal care foray
M&M Fin plans to vend insurance, MF products
Opto Circuits arm gets European Mark approval
Keltron reiterates demand for OTS
ONGC starts negotiations with Exxon Mobil consortium
ONGC expects marginal rise in onshore crude output
Radio City targets 30% share in 2 years
JB Chem intensifies focus on 3 segments
Fiat plans 1.1 litre, CNG variants of Palio


The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | Business Line | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |

Copyright 2006, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line