Thiruvananthapuram: BrahMos Aerospace, the joint Indo-Russian venture is set to takeover Kerala State's public sector unit, Keltec or Kerala Hightech Industries Ltd. BrahMos chief, and also chief controller, Defence Research and Development Organisation (DRDO) A Sivathanu Pillai and T Balakrishnan, principal secretary (industries), Kerala government will sign a deed document to this effect on Wednesday.
Keltec will now integrate and manufacture the BrahMos supersonic cruise missiles, a release from Kerala industry ministry has said, with the new entity being renamed as BrahMos Aerospace (T) Ltd.
BrahMos is a joint venture of government of India and Russian government with majority stake by Indian government through the DRDO.
The formal transfer of Keltec to BrahMos will take place by the beginning of 2008.
BrahMos is the world''s only cruise missile with a speed of 2.8 mach. Apart from missile production, BrahMos also plans to develop new generation launch vehicles for ISRO and also supply critical components for DRDO and BARC.
BrahMos will invest Rs100 crore and ISRO Rs25 crore towards upgrading the Keltec unit with state-of-the-art facilities.
BrahMos will also acquire land adjacent to KELTEC, currently occupied by another defence agency, in order to expand its operations.
The projected annual turnover of BrahMos is Rs500 crore within three years, and Rs1000 crore in a span of five years.
Thiruvananthapuram will be BrahMos Aerospace's second full-fledged production and integration centre.