Reliance Infrastructure shares hit upper circuit as its arm bags ₹600 crore defence deal; check details

Rheinmetall AG, one of the world's largest defence conglomerates, is headquartered in Germany, with a market capitalisation of over EUR 80 billion.

The Anil Ambani-led firm’s stock climbed 5% during the intraday period after the announcement.

The order represents a key milestone in Reliance Defence’s strategy to strengthen its position as a reliable partner in the global defence and munition supply chain, with a particular focus on Europe.

Reliance Defence’s export order is one of the largest in the high-tech ammunition domain to date, the company said in a statement to the exchanges. “This underscores the strength of its recently announced strategic partnership with Rheinmetall,” the company further said.

The collaboration highlights the mutual commitment of both parties to long-term cooperation and to advancing the ‘Atmanirbhar Bharat’ and ‘Make in India’ initiatives by strengthening indigenous defence manufacturing capabilities.

Reliance Defence aims to be amongst the top three defence exporters in the country.

Commenting on the development, Anil D. Ambani, Founder Chairman, Reliance Group, said: “The strategic partnership with Rheinmetall brings cutting-edge capabilities to India and represents a defining milestone for the country’s private defence manufacturing sector. Through this, we aim to enable India not only to meet its domestic defence needs with confidence but also to establish itself as a trusted force in the global defence supply chain.”

The agreement aligns with Reliance Defence’s strategic focus on expanding its international presence, with Europe identified as a key market for future growth.

Reliance Defence will establish an integrated facility for the manufacturing of explosives, ammunition, and small arms under the ambitious Dhirubhai Ambani Defence City (DADC) initiative. The DADC is being developed in the Watad industrial area of Ratnagiri, Maharashtra, and is set to become the largest greenfield project in the defence sector ever undertaken by any private company in India.

Earlier this month, Reliance Defence had announced a strategic cooperation agreement with German arms manufacturer Diehl Defence for the production of next-generation terminally guided munitions (artillery shells).

For the last month, Reliance Infra shares have soared over almost 38%. Year-to-date, the stock has zoomed 27%.

Since December 26, 2024, which is six months, shares of the firm have climbed 34%.

The company’s market capitalisation stands at ₹16,029.45 crore.

Shares of the firm had touched its one-year high of ₹420 apiece on June 11, 2025, while its 52-week low of ₹169.51 was hit on July 23, 2024.