BWI: Bharat Electronics, Astra Microwave Sign MoU for Joint Venture

Press release from Business Wire India
Source: Astra Microwave Products Limited
Wednesday, February 11, 2009 03:19 PM IST (09:49 AM GMT)
Editors: Business: Advertising, PR & marketing, Business services, Defence & security, Electronic appliances & components, Telecommunications; Technology
Release no: 19210
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Bharat Electronics, Astra Microwave Sign MoU for Joint Venture


Hyderabad, Andhra Pradesh and Bangalore, Karnataka, India, Wednesday, February 11, 2009 -- (Business Wire India) --
-- JV to design and produce RF/microwave components and sub-systems for defense, space, and telecommunications.

-- To be to be common platform for design, development and manufacturing of BEL's microwave intensive products.

-- BEL to hold 49% equity, Astra Microwave 51%.

-- "Partnership with BEL will strengthen Astra's delivery capabilities and market reach"-B Malla Reddy, Managing Director, Astra Microwave.

Reuters: 532493
NSE: ASTRAMICRO
Bloomberg: ASTM@IN
Reuters: ASTM.BO

Bharat Electronics Ltd (BEL), India's largest manufacturer of defense electronics equipment, and Astra Microwave Products Ltd, a provider of cutting-edge RF and microwave components and sub-systems for critical defense and civilian applications, today announced the signing of a memorandum of understanding (MoU) to form a joint venture company.

According to the terms of the MoU, the joint venture, in which Bharat Electronics will own 49% equity and Astra Microwave will own 51% equity, will design, develop, prototype, manufacture, and market RF and microwave products for use in defense, space, and telecommunications. The JV is proposed to be the platform for the design, development, and manufacture of BEL's microwave intensive products.

The MoU was signed in Bangalore today by IV Sarma, Director (R&D), Bharat Electronics, and B Malla Reddy, Managing Director, Astra Microwave.

Comment by B Malla Reddy, Managing Director, Astra Microwave Products
The partnership with BEL will significantly enhance Astra's delivery capabilities and market reach, said B Malla Reddy, Managing Director, Astra Microwave.

"BEL's record of excellence in advanced electronics systems goes back several decades, while Astra Microwave has firmly established itself as India's top provider of world-class RF and microwave technologies for defense, space, and telecom," said Mr Malla Reddy. "We are honored that BEL has chosen Astra Microwave as its partner; the joint venture is uniquely positioned in scale and capability to meet the requirements of the niche, but potentially large, global market, for microwave intensive products."

About Astra Microwave Products

Headquartered in Hyderabad, India, Astra Microwave Products Limited (www.astramwp.com) designs, develops, and manufactures components and sub-systems for RF and microwave communications systems used in defense, space, and telecom applications. Prominent customers include, among others, Antrix Corporation, the Defense Research Development Organization, Bharat Electronics, Hindustan Aeronautics, Bharat Dynamics, Electronics Corporation of India, the Indian Meteorological Department, the Indian Space Research Organization, Reliance Communications, Ericsson, Tata Teleservices. In fiscal 2007-08, Astra Microwave gross revenue was INR 1.27 billion on an equity capital of INR 100 million


CONTACT DETAILS
S Gurunatha Reddy, Astra Microwave Products Limited, +91 (040) 30618000 /+91 9849027681, sgr@astramwp.com
Dev Chandrasekhar, Ubiquus, +91 9821070043, d.chandrasekhar@ubiquus.com

KEYWORDS
MARKETING, BUSINESS SERVICES, DEFENCE, ELECTRONICS, TELECOMMUNICATIONS, TECHNOLOGY, ASTRAMICRO.NS, 532493.BO

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