Indian partner to hold 51% stake in the new entity
New Delhi, Aug. 30
Delhi-based Indo Asian Fusegear Ltd (IAFL) has forged a joint venture with Simon of Spain to manufacture wiring accessories and home electricity automation products.
In the new entity, Asian Simon Pvt Ltd, the Indian partner will hold 51 per cent stake while Simon will hold the rest.
Plant in Haridwar
The new company will invest Rs 30 crore in the first phase for setting up a manufacturing plant in Haridwar, Uttaranchal.
"Apart from our existing facilities in Haridwar, we have acquired additional land in the city for setting up a new plant. The production will commence from the 2007-08 fiscal," said Mr V.P. Mahendru, Chief Managing Director, IAFL.
Asian Simon Pvt Ltd will manufacture and market products that would include `Intelligent Building' and automation products. Such automation equipment can be pre-programmed as per individual requirements. It can switch on and off the lights, heating system, air conditioners as per programme logic embedded in the system.
These products can be controlled from remote locations by mobile phones and landline phones. These products will be marketed in India and the SAARC countries.
"The creation of this joint venture will be a significant milestone in our country with the fast developing economy of India. This win-win partnership will also leverage the resources and expertise of both companies to serve the global operations of Simon and Indo Asian," said Mr Xavier Torra, Managing Director, Simon.
Simon is 300-million electrical equipment manufacturing company with manufacturing facilities in France, Portugal, Mexico, Brazil, Argentina, Morocco, Turkey, Poland, Russia and China. IAFL is targeting a turnover of Rs 325 crore for the current fiscal.