DCM Shriram Industries Limited signs agreement with ZD for UAVs

DCM Shriram Industries Limited was granted an industrial licence for manufacture of 500 units of Unmanned Aerial Vehicles (UAV) along with Ground Data Terminal, Ground Control Stations and Launchers annually in July, 2018.

The Company has entered into an Agreement with Zyrone Dynamics Havacilik Danismanlik Ve Ar-Ge San. Tic. A.S., a company incorporated and existing underthe laws of the Republic of Turkey and having its registered office at Lvedik OSB Mah. 2224. Cad. No.11212 06378 Yenimahalle Ankara/Turkey (ZD) on 16.08.2021. The said Company is engaged in the manufacturing and marketing of UAVs of different types.

As per the Agreement the Company would subscribe to 30% of the capital of the foreign company comprising of 25715 shares at a total investment of just over USD 1.05 million in five tranches over a period of about a year, subject to necessary approval with regard to foreign investment under FEMA Regulations.

ZD will provide to the Company technological support for two variants of UAVs at different times during the subscription period and both the parties will support each other in marketing the products in lndia and globally.

ZD is a Turkey based company operating in the Turkish aerospace sector which designs, develops, produces and undertake R&D of inter a/ra UAVs and UAV subsystem hardware and software solutions. ZD comprises of a team of highly technical personnel some of those have over a decade long experience in the Turkish Aerospace lndustry and in providing engineering, research and consultancy services in the field of aviation and defence.

ZD is a private joint stock company having share capital of TRY 60,000 (Turkish Lira Sixty Thousand only) divided into 60,000 (Sixty Thousand) shares of TRY 1 (Turkish Lira One only) each. The capital of the Company will be increased to 85715 shares on the investor company subscribing to 25715 shares as per the Agreement.

ZD will receive the support of the Ilndian investor company with over a century of experience in manufacturing and marketing of various products and also funds to the extent of USD 1.05 million in the form of capital infusion. The investor company will receive technological support and sample products for manufacture of the UAV variants in lndia.

Shares of DCM Shriram Industries Ltd., was last trading in BSE at Rs. 411.95 as compared to the previous close of Rs. 419.65. The total number of shares traded during the day was 23704 in over 490 trades.

The stock hit an intraday high of Rs. 428.8 and intraday low of 401. The net turnover during the day was Rs. 9887518.

Source : Equity Bulls

Keywords