A Saudi Arabian company is to locally modernize and manufacture an Antonov light cargo aircraft for Saudi and international military and civilian markets.

The work comes under a new agreement between Taqnia Aeronautics Company, a subsidiary of Saudi Arabia's Taqnia investment firm and the Antonov Company of the Ukraine.

"The purpose of this agreement is to achieve a number of objectives, to include transfer of aviation industry technology to the Kingdom and to qualify ... Saudis to enter the aviation industry, where Saudi staff will be trained by Ukrainian experts," Taqnia said.

Taqnia said that under the agreement, King Abdulaziz City for Science and Technology, Taqnia Aeronautics and Antonov will develop the current model of the aircraft, the Antanov 32, to accommodate new payload, range and takeoff capabilities. Also, the aircraft will receive upgrades such as a new cockpit with U.S.-made navigation devices.

The new variant developed in Saudi Arabia will be named the Antonov-132. Saudi Arabia will also own the intellectual property rights and the engineering designs for the aircraft.