Friday, February 11 2005 18:49 Hrs (IST) - World Time -

Bangalore: India's State-owned missile manufacturer Bharat Dynamics Ltd (BDL) today (Feb 11, 2005) said it will start a factory with Europe's missile producing consortium MBDA to produce the Indian and Milan ER anti-tank infantry missile for the Indian and French Armies.

Both the partners will also export to third world countries the Milan anti-tank missile, which BDL is producing under licence from MBDA since 1981 for the Indian Armed forces.

MBDA and BDL, at the Aero India air show 2005 in Bangalore, announced the signing of an MoU to set up a joint venture later this year, which both the firms hope would also include collaboration for Mica/Aster air-to-air missile.

Both the firms did not reveal the financial details of the deal, nor investment plans for the JV.

A joint statement by MBDA and Hyderabad-based BDL said the MoU paves way for the development and industrialisation of Indian/Milan ER, an enhanced Milan system with extended range and an improved anti-jamming capacity to meet the requirements specified by both Indian and French Armies.

MBDA is European missile firm that is jointly owned by British firm BAe Systems, Germany-headquartered EADS and Italy's Finmeccanica.