The CEO of Indra, Josep Maria Recasens, has reiterated that the collaboration with the South Korean Hanwha for the development of self-propelled artillery systems is not in question, emphasizing that both parties are "fully committed to the project."
During the 'conference call' held this Thursday on the occasion of the presentation of the results for the first half of the year, the top executive of the technology multinational downplayed the lack of news regarding this alliance. "The absence of news is good news," he pointed out to the analysts and investors connected.
In this regard, Recasens indicated that the absence of additional announcements reflects that they continue to be "fully committed and determined to carry out the project together with their partner Hanwha."
The executive insisted that the company's focus is on the proper execution of the program: "Therefore, our main responsibility is to maintain the momentum we have generated to meet the approximately 282 objectives we must achieve within the framework of the entire program," he highlighted, stressing that this is a matter of "utmost importance" that they will not jeopardize, "as it is the company's priority."
The agreement with Hanwha, prior to the changes in Indra's leadership
The doubts raised by some investors arise after reports published in the press suggested that the rapprochement between Indra and Santa Bárbara Sistemas, controlled by the European subsidiary of General Dynamics, could lead to a possible cancellation of the contract with the Asian company. The Catalan executive wanted to categorically deny these speculations.
Regarding the artillery contract signed between Indra and Hanwha, it is worth remembering that it was formalized last March, just before the changes in the company's top management, which concluded with the replacement of CEO Ángel Escribano in early April and, subsequently, of CEO José Vicente De los Mozos.
The agreement, of a binding nature, contemplates the development of "cutting-edge" and "100%" Spanish self-propelled artillery systems, with a planned investment of 130 million euros and the creation of 1,500 jobs. This project will allow Indra to promote a Spanish version of the K9 self-propelled howitzer.
This industrial commitment is integrated into the artillery program awarded to the temporary union of companies (UTE) formed by Indra and Escribano Mechanical & Engineering (EM&E), whose contract was tendered for an amount of 4.554 billion euros.
In addition, at the beginning of April, already with Ángel Simón at the helm of the presidency of the multinational, Hanwha Aerospace signed a memorandum of understanding (MoU) with Indra to jointly promote armored vehicle solutions intended for the Chilean Army and collaborate on defense initiatives in various countries in Latin America.