Bharat Forge share price declined over 3 percent in early trade on Thursday, a day after the Centre announced that it has inked deals worth Rs 6,900 crore with Bharat Forge and Tata Advanced System.
The company in an exchange filing, said "Bharat Forge inked the largest domestic contract of 184 indigenously developed Artillery Systems with the Ministry of Defense. This accounts to 60% of the Rs 6900 Cr. procurement by the MOD."
Shares of Bharat Forge declined 4.48 percent in early trade to quote at Rs 1,162 per share on the NSE. Later, it trimmed some of its losses to quote at Rs 1,162, down 1.77 percent.
The Ministry of Defence (MoD) has signed these contracts for the procurement of 155mm/52 Calibre Advanced Towed Artillery Gun Systems (ATAGS) and High Mobility Vehicle 6x6 Gun Towing Vehicles with Bharat Forge Limited and Tata Advanced System Limited, respectively.
Govt inks Rs 6,900-crore defence pacts with Bharat Forge, Tata Advanced System
MoD with these pacts aims to replace the older and smaller calibre gun with the 155 mm/52 Calibre ATAGS to enhance the artillery capabilities of the Indian Army. This will also enhance the operational readiness and boost the Army's firepower by enabling precise and long-range strikes.
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