The agreement was signed in New Delhi on 24 November 2025 by BEL CMD Manoj Jain and SED executive vice president Alexandre Ziegler, in the presence of senior Defence Ministry officials and Safran leadership.

The joint venture cooperation agreement (JVCA) formalises the intent outlined in an MoU signed during Aero India 2025. The proposed joint venture will be a 50:50 private limited company. It will localise production, supply and maintenance of HAMMER systems for the Indian Air Force and Indian Navy.

The indigenisation level will gradually rise to 60%, covering key electronics, mechanical parts and sub-assemblies. Production transfer will be phased, with BEL handling final assembly, testing and quality assurance. BEL said the partnership will help strengthen India's defence manufacturing ecosystem and support Aatmanirbhar Bharat.

Bharat Electronics (BEL) is a Navratna PSU under the Ministry of Defence, Government of India. It manufactures electronic products and systems for the army, navy, and air force. As on September 2025, the Government of India held 51.14% stake in the company.

Its consolidated net profit jumped 17.87% to Rs 1,287.77 crore on 25.78% rise in revenue from operations to Rs 5,792.09 crore in Q2 FY26 over Q2 FY25.