IMI Systems has secured a potential seven-year, $450 million contract to provide munitions to Israel’s infantry and armor units, Defense News reported Monday.
Barbara Opall Rome writes that Israel’s defense ministry said the multiyear procurement effort will help the Israeli armed forces to resupply the country’s inventory of weapons systems and support live-fire training of ground troops in the coming years.
IMI President and CEO Avi Felder was quoted as saying the deal stems from the ministry’s decision ensure “continuity of strategic production lines” as the state-owned company transitions to a new facility in southern Israel.
In December 2013,  the Israeli government approved a privatization plan for IMI and the company should transfer its headquarters to Negev by 2022 as part of the plan.
The report said IMI also entered into technology partnerships with multiple defense contractors such as BAE Systems, DRS Technologies, General Dynamics (NYSE: GD) and Raytheon (NYSE: RTN).
