BAE Systems has entered into a partnership with the Czech defense contractor Ray Services to deliver parts for the Swedish armed-forces mortar system Mjölner, the company announced on Tuesday.

Sweden placed an order for 40 of the self-propelled, tracked 120 millimeter mortar systems with BAE December 2016.

"The agreement with Ray Service demonstrates our commitment to deliver a world-class CV90 offering through close cooperation with Czech industry in order to meet the Czech Army's IFV requirement," Peter Nygren, director of business development at BAE Systems Hägglunds, said in a press release.

"The design and production of the cable harnesses for the 40 mortar systems is a strong foundation for working together in the future. This collaborative effort ensures a role for local industry to produce one of the critical subsystems in the vehicle," Nygren added.

BAE is working to secure a contract to replace the aging BMP-2 Infantry Fighting Vehicle still used by the Czech military. They are teaming up with several Czech companies, including VOP CZ, to offer the CV90 IFV. The CV90 has over 1200 units in service in seven countries, including several NATO members.

"We are thrilled with the opportunity to work alongside BAE Systems on this contract and look forward to further developing our relationship with the company," said Jakub Gabriel, managing director at Ray Services. "Our strong history in engineering and production means we will deliver a quality service on time and on budget, and to defense sector requirements."

The CV90 carries a 40mm Bofors auto cannon and can carry 8 troops. Export versions can also carry the Bushmaster in various models.

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