BUCHAREST (Romania), July 21 (SeeNews) - Romanian aircraft construction and repair company Aerostar [BSE:ARS] and UK military joint-venture U-TacS have signed a memorandum for cooperation in the assembly of military drones in Bacau, the city mayor said.
"If the partnership is successful, Aerostar will assemble military drones. This will bring jobs and revenues for the people in Bacau, and of course, the satisfaction to endow the Romanian military with drones made in Bacau," Bacau mayor Lucian Daniel Stanciu Viziteu said in a social media post on Tuesday.
A joint venture company, UAV Tactical Systems Ltd (U-TacS), was set up in 2005 by Thales UK and Israel-based defence electronics manufacturer Elbit to produce the Watchkeeper unmanned aircraft system in the UK.
Aerostar is specialised in repairing and upgrading military aircraft, producing light aircraft, hydraulic equipment for aviation and piston engines as well as electronics and other specialized equipment. The company exports its products to countries in Europe, Asia, North America and the Middle East.
Privately-owned Romanian defence group IAROM owns a stake of 71.36% in Aerostar. Investment fund SIF Moldova owns 15.05%, while the rest is held by smaller-scale shareholders.
Aerostar's shares traded flat at 5.5 lei ($1.3/1.1 euro) on the Bucharest Stock Exchange as at 1258 CET on Wednesday.
In August, Aerostar was designated as provider of maintenance services for the F-16 fighter jets of Romanian Air Force.
(1 euro=4.9247 lei)