Saudi Arabian Military Industries (SAMI) has signed an agreement to set up a joint venture with US firm Lockheed Martin to enhance the kingdom's defense and manufacturing capabilities, the state-owned Saudi company said on Sunday.
SAMI, which is owned by the Saudi state's Public Investment Fund (PIF), will own 51% of the venture.
"The new agreement will develop localized capabilities by transferring technology and knowledge, and by training a Saudi workforce in manufacturing products for, and providing services to, the Saudi armed forces," the statement said.
Saudi is one of the world's largest buyers of foreign arms.