The Board of Directors of Bharat Electronics Limited (BEL) has approved the formation of a Joint Venture (JV) with Safran Electronics and Defence (SED), France, for Project HAMMER. The JV will establish a Centre of Excellence in Pune dedicated to the manufacturing and maintenance of Guidance Kits (GK). The partnership will follow an equal 50:50 equity structure, subject to necessary regulatory approvals from both India and France.
The approval was granted at BEL’s Board meeting held on February 15, 2026, authorising the signing of a definitive Joint Venture Agreement (JVA) with SED. The agreement marks a strategic step in strengthening defence technology collaboration between the two companies.
The JV entity will be incorporated as a Private Limited Company under the Companies Act, 2013, with its registered office likely to be located in Pune or another mutually agreed location. The venture’s operational focus will be the establishment of a Centre of Excellence, functioning as a Technology cum Teaming Partner for the manufacturing, supply, maintenance, and repair of the Guidance Kit (GK) for the HAMMER Weapon System.
Under the agreed structure, BEL and SED will each hold 50% equity. The company will commence operations with an Authorised Share Capital of INR 1,00,000, comprising 1,000 Equity Shares of INR 100 each, with provisions to increase the capital up to INR 10,00,00,000 as required. Governance of the JV will be managed by a four-member Board, with two Directors nominated by BEL and two by SED. The Chairman will be appointed by the nominees and will not have a casting vote.
The primary intended end users of the products manufactured through the JV will be the Indian Air Force and the Indian Navy, while allowing for the inclusion of other end users in India based on mutual agreement.
The operationalisation of the JV agreement and its provisions remains subject to the necessary regulatory and administrative approvals from the governments of India and France.
