NIBE bags Rs 563-cr Indian Army contract for loiter munition systems

NIBE has secured a supply contract worth Rs 563.35 crore from the Indian Army, Ministry of Defence, Government of India for the manufacture and supply of loiter munition systems.

The contract involves the supply of 30 sets of loiter munition systems comprising 300 loiter munitions, along with associated testing equipment and accessories, under the Buy (Indian) category.

The order, valued at Rs 563.35 crore inclusive of taxes and duties, is to be executed in tranches within 12 months from the release of advance payment following the signing of the contract. The company will furnish a performance-cum-warranty bank guarantee equivalent to 10% of the total contract value within 45 days of signing the agreement, along with the stipulated bank guarantee for the annual maintenance contract.

Shares of NIBE fell 3.29% to Rs 1,439.75 on the BSE.

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