Assystem Energy & Infrastructure and AXISCADES Engineering Technologies signed a Memorandum of Understanding to form a joint venture company in India.

This JV Company will undertake engineering services for the energy sector business for Indian and global utilities and contractors; mutually agreed in accordance with the provisions of the final agreement.

This JV combines the strength of AXISCADES and Assystem Energy & Infrastructure to address the needs of the industry’s leading Energy Majors across the globe, such as the design of new power stations. It will create competitive solutions, meeting global outsourcing requirements. It is also aimed at addressing the nuclear programs in India. This JV Company is modeled around the successful partnership formed by AXISCADES and Assystem, addressing some of Airbus Group’s requirements.

The JV plans to employ over 500 talented engineers in the next three years.

Sudhakar Gande, Vice Chairman, AXISCADES said, ''The growing importance of the energy sector requires that we bring superior global resources and a broad spectrum of cutting edge technologies and processes in order to better ensure our customers' success. The formation of this joint venture ensures value addition and provides critical mass to accelerate meeting those objectives.''

The JV could also involve service offerings to other sectors and regions, thus offering a competitive boost for both companies in the global marketplace, by leveraging each other's core strengths.

Shares of the company gained Rs 7.95, or 6.06%, to trade at Rs 139.10. The total volume of shares traded was 38,819 at the BSE (10.45 a.m., Friday).