Swedish defense company Saab has announced an investment of SEK 250 million (roughly USD 38 million) into Indian shipbuilder, Pipavav.
In a statement issued today, Saab said they have ‘signed a MOU (Memorandum of Understanding) regarding a strategic investment in the Indian company Pipavav Defence and Offshore Engineering Co Ltd’. “The MOU covers an investment by Saab of approximately MSEK 250 through a suitable structure, subject to all necessary approvals, during coming months,” said the statement.
The two companies have also signed a Technical Partnership Agreement (TPA), which Saab says, ‘is a continuation of an ongoing co-operation between the two parties and covers details about the format for further co-operation and relevant projects’.
The two companies have earlier set up the Combat System Engineering group, ‘which analyses naval combat system design and architecture’. “The companies are also exploring next generation combat management systems for the Indian Navy and Coast Guard,” said Saab in the statement.
The statement quoted Saab India country head, Jan Widerström, as saying, “This agreement has the potential of offering new business opportunities for Saab’s naval offer and we welcome the possibilities this presents to further develop our offering to a global market.”
Pipavav has earlier partnered with the French warship manufacturer, DCNS, to jointly bid in the tender to supply the Indian Navy with Landing Platform Dock (LPD) vessels. [https://www.stratpost.com/dcns-pipavav-in-strategic-partnership]