Tata Group's Tata Electronics is planning to buy a majority stake in Taiwanese contract manufacturer Pegatron's sole iPhone plant in India. This plant of Pegatron is in Tamil Nadu. This will create a new joint venture, which will strengthen Tata's position as an Apple supplier.
The deal between the two companies was announced internally last week, according to a Reuters report. Under the deal, Tata will hold a 60% stake and look after the day-to-day operations under the joint venture. Pegatron will hold the balance and provide technical support.
Talks between the two companies are at an advanced stage No specific information is yet known about the financial details of the deal. Earlier, Reuters reported in April that Pegatron was in advanced-stage talks to sell its sole iPhone plant in India to Tata. Apple is trying to diversify its supply chain outside of China amid geopolitical tensions between China and the US.
Tata Group continues to expand iPhone production For Tata, the Chennai Pegatron plant will strengthen its iPhone production plans. The Tata Group is rapidly expanding into iPhone manufacturing. Foxconn also manufactures the Apple iPhone in India.
According to Reuters, both Tata Electronics and Pegatron are going to apply for Competition Commission of India (CCI) approval for the joint venture in the coming days.
The Tata Group operates an iPhone assembly plant in Karnataka The Tata Group currently operates an iPhone assembly plant in Karnataka. Tata Group bought this plant from Taiwanese company Wistron last year. Apart from this, there is an iPhone component plant in Hosur, Tamil Nadu. The group is building another plant in Hosur.
Pegatron trending on google Tata Group is planning to buy a majority stake in Taiwanese contract manufacturer Pegatron's iPhone plant in Tamil Nadu, India. After this news, Pegatron is constantly being searched on Google. If we look at the Google trend of the last 30 days, it is clear that the search graph for Pegatron has increased rapidly.
Image Credit: (Divya-Bhaskar): Images/graphics belong to (Divya-Bhaskar).
