UPDATE 1-India's Larsen, EADS unit form defence JV

(Adds details, share price)

MUMBAI, May 5 (Reuters) - India's Larsen & Toubro LART.BO and the defence and security division of Europe's EADS EAD.PA will form a joint venture to make defence electronics in India, eyeing orders from a modernising Indian army.

The joint venture will focus on design and development of electronic warfare, radar, military avionics and mobile systems for military applications for India and rest of the world, India’s largest engineering and construction firm and EADS said in a statement.

By 0600 GMT, Larsen shares were up 2.9 percent in a Mumbai market .BSESN down 0.2 percent.

The joint venture is subject to approval by the Indian government, the statement said.

“The Indian defence and security market is growing fast and we want to grow with it,” Stefan Zoller, chief executive of EADS Defence & Security said in the statement. India is among the largest buyers of defence equipment as it plans to spend more than $30 billion over the next five years to modernise its largely Soviet-era weapons systems and is also launching its first military spy satellite next year. [ID:nDEL477811]. (Reporting by Prashant Mehra; Editing by Anshuman Daga)