Thales and Reliance Defence announced today their intent to form an Indian Joint Venture (JV) with the proposed shareholding of 49% and 51% respectively.

Leveraging Thales offset commitment as part of the Rafale Contract, the JV is to develop Indian capabilities to integrate and maintain the Radar and Electronic Warfare sensors. The JV will develop skills and activity in the Special Economic Zone of Mihan-Nagpur together with an Indian supply chain for the manufacturing of microwave technologies and high performance airborne electronics.

Set up with a long term strategy to serve the Indian needs, this partnership between Thales and Reliance Defence will strengthen the Prime Minister Narendra Modi's ''Make in India' vision.

Anil Ambani, Chairman Reliance Group said, ''The strategic partnership with global leader Thales is another major milestone in our march towards best in the class manufacturing at support facilities for Military hardware in India. Reliance is committed to 'Make in India' and 'Skill India' initiatives of the Government and will continue to remain in the fore front, partnering with the best in the World.''

Shares of the company gained Rs 9, or 1.87%, to trade at Rs 489.60. The total volume of shares traded was 157,369 at the BSE (1.55 p.m., Wednesday).