IDEF 2009:Turk Aselsan agrees deal with Finmeccanica unit

Turkish defence equipment maker Aselsan (ASELS.IS) said on Wednesday it had agreed to a partnership with a unit of Italy's Finmeccanica (SIFI.MI) for work on defence systems for a new type of submarine.Under the deal Finmeccanica unit WASS and Aselsan will integrate WASS-manufactured Black Shark torpedoes into the submarine's anti-torpedo defence system.The agreement on the project, for which no value was given, could be expanded to include torpedo production at a later date, the company said in a statement. Shares in Aselsan were trading 7.33 percent higher at 4.10 lira, outperforming a positive Istanbul stock exchange.Germany's HDW and Great Britain's MFI won a tender last July to procure six submarines for Turkey's armed forces. The project is expected to be worth approximately $2.5 billion.Aselsan said earlier on Wednesday that it planned to sign a contract with the Chilean armed forces to help modernise a fleet of 100 Leopard tanks.The project with Chile is estimated to be worth $150 million, the company said in a statement to the stock exchange.Aselsan, which is also working with Lockheed Martin in a multi-nation F-35 fighter jet project, said it was also looking at other partnerships with Chile.A Turkish Defence Ministry official said on Tuesday that he expected Aselsan's share from the F-35 project to reach $1 billion.

Posted in: IDEF 2009,Turkey