The Hindu Business Line : Bangalore entrepreneurs in pact with Spanish cos

New venture
Assembly services of components used on PCBs will be offered to international customers
Unit will begin production in August with an initial capacity of two million components per day

Bangalore May 17 Two city-based entrepreneurs have struck three-way joint venture with Spanish companies to launch an electronic manufacturing service company here.

Indic Electronics Pvt Ltd, the new venture formed by Mr Anil Gupta and Mr Alok Garg with Electronica ITEL and DigiProcess of Spain, each with 33 per cent investment, will provide the assembly services of components used on PCBs (printed circuit boards) to its international customers. The Spanish companies will also provide their technologies to Indic.

Indic will source PCBs from CIPSA RIC, a company launched last year by Mr Gupta and Mr Garg, Mr Gupta, Vice-Chairman of Indic, told presspersons on Thursday.

Indic will have an initial authorised capital of Rs 10 crore.

The unit, located in the Doddabellapur Industrial Area, will begin production in August with an initial capacity of two million components per day.

Mr Guptasaid the company has a firm order worth $5 million. ITEL and DigiProcess would also be sourcing their requirements from Indic, he said.

Indic hopes to increase its turnover from Rs 50 crore in the first seven months of financial year 2008 to Rs 100 crore in 2009.

Ms Beatriz Serrano, Director, Electronica ITEL, said her company plans to move from China its outsourced assembly job on PCBs to Indic to take advantage of India's cost, quality and availability of skilled manpower benefits.

Mr J. Batet, CEO, DigiProcess, said that his company caters to the demands of automotive, energy, industrial automation, telecommunications and peripheral sectors. Indic has already tied up with S.A.Sistel. Spain for its assemblies in India including assembly functional testing tools, he added.

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