NIBE Limited has entered into a significant licensing agreement with the Defence Research and Development Organisation (DRDO), through its Research & Development Establishment (Engineers) based in Pune. This partnership focuses on the development and manufacturing of modular bridging systems, aligning with the Indian government’s efforts toward enhancing defense self-reliance.
As part of the technology transfer (ToT) agreement, NIBE is set to invest a total of Rs 3.76 crore, disbursed in installments over a decade. This funding will enable the company to utilize DRDO’s proprietary technology to manufacture modular bridges ranging from 14 to 46 meters in length. These advanced systems are designed for rapid deployment, allowing tracked and wheeled military vehicles to navigate difficult terrain and obstacles efficiently.
Targeting not only the Indian Armed Forces but also central and state government agencies, NIBE will benefit from DRDO’s extensive technical expertise and testing methods. The company has set an ambitious timeline for launching these modular bridges within the next 24 months.
This agreement marks a strategic pivot for NIBE, which has primarily focused on electronic components and fabrication materials in the past. The company also offers consultancy and turnkey services related to the design, supply, erection, testing, and commissioning of low- and medium-voltage power lines and substations.
Despite the promising prospects from this defense-oriented initiative, NIBE reported a downturn in its financial performance during the fourth quarter of FY25. The company’s consolidated net profit decreased by 30% year-on-year, amounting to Rs 7.64 crore, while total income fell by 25.8% to Rs 113.64 crore. Nevertheless, the market responded positively to the announcement of the DRDO agreement, with NIBE’s shares closing slightly higher at Rs 1,675.85.
This licensing agreement positions NIBE as an emerging player in India’s defense mobility sector and is anticipated to enhance the country’s strategic and operational capabilities in the foreseeable future.
