ABU DHABI, The Defense and Security Development Fund of Tawazun Economic Council signed a funding agreement reaching the potential total of AED 193 million with Halcon Systems LLC, a company owned by the Abu Dhabi-based Yas Holding Group.

The agreement was signed during IDEX 2019 by Abdulla Al Huwar, Strategic Technology Investments Director at Defense and Security Development Fund, and Saeed Al Mansoori, Chief Executive Officer of Halcon Systems, in presence of Abdulla Naser Al Jaabari, Chief Officer and Head of Defense and Security Development Fund as well as Matar Ali Al Romaithi, Chairman of the Emirates Defense Companies Council, as well as representatives from each entity.

The first phase of the agreement is to set up production lines and further expand Halcon's existing capabilities to cater for local and international market demands.

The parties are also discussing a direct investment into the development and manufacture of the P4 Guided kit. The guidance kit utilizes GNSS and semi active laser for accuracy on MK 84 (2000 lbs) aircraft bombs.

Commenting on the agreement, Tareq Al Hosani, the chief executive of Tawazun Economic Council, said: "The Tawazun Economic Council is keen to support local strategic technology investments to meet the needs of the country and contribute in finding innovative solutions through investing in the development of new and advanced technologies, or through the acquisition and development of companies.

Al Hosani highlighted that, through the Defense and Security Development Fund, Tawazun Economic Council seeks to reaffirm Abu Dhabi's position as a leading regional hub in the field of manufacturing and development of strategic technologies, emphasizing his confidence in Halcon and its ability to develop targeted technologies within the upcoming period.

From his side, Saeed Al Mansoori, Chief Executive Officer of Halcon Systems, said that the collaboration with the Defense and Security Development Fund will contribute to boosting Halcon's manufacturing competences, technical efficiency and aptitude to develop advanced technology wholly owned by the company. We look forward to the Fund's support to help us upgrade our existing production lines, especially in the manufacture of the Desert Sting series."

Al Mansouri anticipates that the development and manufacture of a smart missile control and guidance panel will be delivered over the next three years, stressing that the company has the sufficient and relevant expertise and capabilities to complete and deliver the project at the highest standards.

Abdullah Al Huwar, Strategic Technology Investments Director at Defense and Security Development Fund, said that this is another strategic investment that the Fund is announcing. He confirmed that the Fund has pre-set criteria and requirements to be met by companies which seek to benefit from the Fund's services.

Al Huwar added: "The Fund supports SMEs in numerous ways. This agreement is an example of how the Fund uses two of its key mechanisms � funding capabilities and investing in technology development � to provide SMEs with the ability to expand operations and further develop capabilities. The Fund's support of SMEs stems from its commitment to support and enable the defense and security industry and contribute towards economic growth and diversification."

The Defense and Security Development Fund is one of the Tawazun Economic Council's key drivers. Tawazun aims to enhance the performance of national private companies operating in the defense and security sectors and enable them to contribute to building a diversified and sustainable national economy. The fund will also be instrumental in meeting the UAE's needs by providing innovative solutions to meet current and future challenges.

Source: Emirates News Agency