The Hindu Business Line : Uday Computer signs pact with Italy's Rosa Ermando

Venture details
UCAM will have majority stake of 51 per cent in the joint venture
The agreement envisages buy-back arrangements and direct export to South East Asia and South Africa

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Bangalore Jan. 22 Uday Computer Aided Manufacturing Pvt Ltd (UCAM), the Bangalore-based manufacturer of high-precision accessories for CNC machining centres such as CNC rotary tables, precision index tables and pallet changing systems, has announced that it has signed a joint venture agreement with Rosa Ermando SpA, Italy, leader in surface grinding technology, to manufacture and market precision surface grinding machines.

While initially the machines will be manufactured at UCAM's existing facility, the joint venture partners propose to set up a dedicated greenfield facility near Bangalore for Rosa UCAM Grindtech Pvt Ltd, the joint venture entity.

The new facility, with an initial investment of Rs 5-15 crore, will deal with both capacity expansion for UCAM's existing products and the production of 150 surface grinding machines annually. Thirty per cent of the output is for exports.

UCAM will have the majority stake of 51 per cent in the joint venture.

The agreement envisages buy-back arrangements and direct export to South East Asia and South Africa.

Commenting on the joint venture initiative, the President of Rosa Ermando SpA, Mr Riccardo Rosa, said, ``India has emerged as the nerve centre for machine tool industry in Asia and its technological capabilities are far superior to many other Asian countries.

Most importantly UCAM is a highly focused technology company and our technological expertise complements each other.

The joint venture will manufacture a special category of machines which hitherto were not manufactured in the country.''

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