Indian company Bharat Forge has finalised the acquisition of a 100% stake in its defence subsidiary Kalyani Strategic Systems Limited (KSSL) and now plans to consolidate all its defence activities under the affiliated firm.
Bharat Forge disclosed in its 2021 annual report that it had recently acquired KSSL in its entirety through the purchase of a 49% shareholding from unspecified promoters. The cost of the stake was INR330 million (USD4 million).
Bharat Forge has operated in the defence sector for about 10 years, but it said it will now invest in further expansion, with efforts framed through KSSL. “We have acquired 100% stake in KSSL. This will enable us to participate in various defence programmes and consolidate all defence activities relating to products and equipment under KSSL,” it said.
The company also revealed that it plans to “set up a new mega facility to meet defence requirements”. KSSL is located in Pune in the western Indian state of Maharashtra. Janes understands that the new facility will be based in Khed City, about 50 km north of Pune, and is expected to be operational by 2023.
Bharat Forge's defence-related capabilities are mainly in the land systems sector. In February this year the company was awarded a contract worth INR1.77 billion (USD24 million) to build an unspecified number of Kalyani M4 armoured vehicles for the Indian Army.
In its annual report, Bharat Forge also said that an artillery system developed by the company has been undergoing trials with the Indian Army. This is understood to be in connection with the army's Advanced Towed Artillery Gun System (ATAGS) programme to procure an indigenously developed 155 mm / 52 calibre weapon.
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