Dixon Technologies India Ltd and Chongqing Yuhai Precision Manufacturing Co. Ltd. plans for JV

Dixon Technologies (India) Limited ("Dixon") and Chongqing Yuhai Precision Manufacturing Co. Ltd. ("Chongqing") enters into a binding Term Sheet to form a prospective Joint Venture in India, through an optimum structure, to be mutually agreed between Dixon and Chongqing such that (i) 74% (seventy-four percent) of the total paid up share capital of the joint venture company is held by Dixon and (ii) 26% (twenty-six percent) of the total paid up share capital of the joint venture company is held by Chongqing, for carrying on the business of manufacturing and supply of precision components for laptop, mobile phones, IoT, automotive and any other products which both Parties agree in India.

Dixon has entered into a binding Term sheet with Chongqing to form a Joint Venture, subject to receipt of necessary statutory approvals and signing of definitive agreements.

The proposed Joint Venture will undertake the business of manufacturing and supply of precision components for laptop, mobile phones, IoT, automotive and any other products which both Parties agree, in India.

Commenting on this occasion, Mr. Atul B. Lall, Vice Chairman & Managing Director of Dixon Technologies (India) Limited, stated "We are delighted to announce our strategic collaboration with Chongqing Yuhai Precision Manufacturing Co. Ltd., a global leader in mechanical enclosures through a prospective Joint Venture. This Joint venture with Chongqing will focus on manufacturing precision mechanical & metal parts & components for a wide range of applications including laptops, mobiles, IOT, automotive which is a significant step in our effort towards localisation of key components, deepening backward integration in Dixon value chain & supporting the Make in India initiative of the Government. We look forward to combining Chongqing's deep technical expertise with Dixon's robust manufacturing infrastructure & customer access. This will mark a significant step forward in our continued journey to strengthen India's electronics manufacturing ecosystem through high-precision components and advanced technologies. We look forward to mutually enrich this relationship that creates long-term value for our customers and stakeholders."

Shares of Dixon Technologies (India) Limited was last trading in BSE at Rs. 15818.20 as compared to the previous close of Rs. 15899.00. The total number of shares traded during the day was 13879 in over 4574 trades.

The stock hit an intraday high of Rs. 16000.00 and intraday low of 15750.00. The net turnover during the day was Rs. 220002067.00.

Source : Equity Bulls

Keywords

DixonTechnologiesIndia INE935N01020 ConsumerElectronics BindingTermSheet ChongqingYuhaiPrecisionManufacturingCo JointVenture JV