KUALA LUMPUR: Italy's Oto Melara, one of the world's top 10 defence companies, strengthened its presence in Malaysia and the region by partnering privately-held Genting Etika Sdn Bhd- The alliance is a platform for Oto to jointly bid for future armed forces projects especially from the yet-to-be announced second generation patrol vessel programme- Genting Etika managing director Captain Azhar Abdul Rahman Sdn Bhd said the firm will invest RM5 million to set up a workshop facility in Lumut, Perak- This is to put the partnership in a better position to vie for business deals especially from the Royal Malaysian Navy (RMN) as well as naval forces in the region- Oto Melara senior vice president marketing and sales Ulderigo Rossi said with the partnership, Oto Melara will be in a "superior" position to meet current and future requirements from the RMN- "We have secured the funding from bank loans and the workshop is expected to be operational by the first quarter of 2012," Azhar told reporters after inking the agreement here yesterday- Oto Melara has been supplying guns to the Malaysian navy since the 1970s- This includes field artillery guns on four Laksmana class corvettes and recently the 12 guns on the current offshore patrol vessel fleet- Established in 2001, Genting Etika is Oto Melara's licensed and authorised agent in Malaysia since 2008- The firm is owned by a former admiral from the RMN- Genting Etika provides technical services, maintenance and supply of defence related equipment to the Defence Ministry through government tenders- In its business presentation, Oto Melara said the partnership may have a businss potential of up to ?25 million (RM110 million) by 2020 to maintain, integrate, produce and sell products to armed forces in the region- Rossi said Oto Melara will transfer technology required to Genting Etika- This will also include the possibility of setting up a joint venture that may lead to sharing of risks, intellectual property rights and profits-  ...

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