Mahindra & Mahindra Ltd.

Utility vehicle maker Mahindra & Mahindra and Telephonics, a unit of US-based diversified Griffon Corporation, have formed a joint venture to provide surveillance and communication devices to the Indian defence sector as well as for civilian use. The $14.4-billion M&M Group will hold 74% stake in the venture, while the remaining 26% will come from the American partner.

The company is targeting a $50-billion corpus that India plans to spend over the next few years to upgrade its military, which faces growing threats from China and Pakistan. The new entity will also cater to air traffic management services, homeland security, emerging surveillance requirements and other communication needs in the Indian market. It is scouting for land to set up a manufacturing plant and has identified three places.