BDL Secures ₹809 Crore Anti-Tank Guided Missiles Contract from AVNL

Bharat Dynamics Limited (BDL) has secured a ₹809 crore (approximately USD 92 million) order from Armoured Vehicles Nigam Limited (AVNL) for the supply of Anti-Tank Guided Missiles (ATGMs).

The order, announced via a regulatory filing on July 25, is to be executed over a period of three years and marks a key milestone in India’s efforts to enhance self-reliance in advanced weapon systems under the “Make in India” initiative.

“The order is not a related-party transaction and neither the promoter nor promoter group has any interest in the entity placing the order,” BDL stated in its stock exchange disclosure.

While BDL has not officially disclosed the missile type due to operational sensitivities, defence industry sources suggest that the Konkurs-M ATGM is the likely system being supplied under this contract. The Konkurs-M is a second-generation, semi-automatic, wire-guided missile, designed to defeat armored targets protected by Explosive Reactive Armor (ERA), with an effective range of up to 4 kilometers. These missiles are typically integrated with BMP-2 infantry combat vehicles, manufactured by AVNL.

The ATGMs are manufactured by BDL under a licensed production agreement with the original Russian developer, with a significant degree of indigenisation already achieved. This aligns with the Indian government’s strategic push to reduce dependence on foreign suppliers for critical defence systems.

This latest order comes amid a robust business outlook for BDL. As of April 1, 2025, the company reported an order book of ₹22,700 crore, which includes multiple high-value contracts from India’s armed forces and defence PSUs. During the current financial year alone, BDL has secured orders worth ₹6,668 crore.

Market reaction to the announcement was modest. BDL shares closed at ₹1,657 on the Bombay Stock Exchange on July 25, down nearly 2% from the previous day. However, the stock has witnessed a strong rally of over 38% in the past six months, driven by increasing order inflows and strategic tie-ups.

BDL also recently announced a final dividend of ₹0.65 per share for FY 2024–25, reinforcing its financial stability and commitment to shareholder returns.

The ₹809 crore contract not only strengthens BDL’s production pipeline but also showcases effective collaboration between India’s state-owned defence manufacturers. For AVNL—formed in 2021 from the corporatisation of the Ordnance Factory Board—this procurement will enhance the firepower of Indian mechanised infantry units with reliable, combat-proven ATGMs.

As India continues to ramp up indigenous defence manufacturing, this deal reinforces the growing capabilities of public sector units like BDL and AVNL in supporting critical operational requirements of the armed forces.