Larsen & Toubro and CASSIDIAN join form defense avionics and electronics joint venture

Posted by John McHale
BENGALURU, India, 16 Feb. 2011. Indian authorities have approved the formation of a joint venture company between Larsen & Toubro and Cassidian, the newly renamed defense and security division of EADS. The joint venture, based in Talegaon near Pune and in Bengaluru India will be active in the defense avionics and defense electronics markets.
The venture aims to cover manufacturing, design, engineering, distribution, and marketing in the fields of avionics, electronic warfare, radar, and mobile systems (such as bridges) for military applications. L&T will hold 74 per cent in the JV whereas Cassidian's share will be at 26 per cent. The joint venture will cooperate closely with Cassidian's new engineering center in Bengaluru.
"In addition to its other businesses, L&T has been a leading company in India for engineering, manufacture and integration of custom made technology-intensive equipment and systems," says M V Kotwal, member of the board, L&T and president of heavy engineering. "[The new venture] will not only serve the Indian armed forces with state-of-the art technology, but also provide a platform for making significant contributions to the global market in high-technology defense equipment."
"Our joint venture is proof of our commitment to India. Cassidian would like to establish an Indian industrial base for our European technologies with the development of a long term partnership," says Bernd Wenzler, chief executive officer of Cassidian Electronics. "We are prepared to bring additional capabilities into the JV company after the Indian laws allow an increase of shares up to 49 per cent."
The new joint venture will deliver solutions for Indian military suppliers as well as the world market.