Telecom major Bharti Enterprises and Dixon Technologies (India) Limited that manufacturers consumer durables, lighting products and mobile phones/smart phones, said that they have entered into a memorandum of understanding (MoU) to form a joint venture (JV).
The JV company will file necessary applications with the Ministry of Communications or any other nodal agency to avail benefits under the PLI Scheme. Post execution of mutually acceptable agreements by the parties, the JV company will be 74 per cent owned by Dixon and 26 per cent by Bharti Enterprises.
“The telecommunications sector has played a pivotal role in facilitating growth of the economy and is a key enabler of digital connectivity and Digital India. With Dixon’s excellent track record in the manufacturing industry and Bharti’s deep expertise in telecom, this venture will be well positioned to be a key player in its space,” Deven Khanna, Group Director, Bharti Enterprises, said.
Dixon’s wholly-owned subsidiary Dixon Electro Appliances Private Limited or any other company identified by the parties will be the JV company which will undertake manufacturing of telecom and networking products like modems, routers, set top boxes, and IoT devices for the telecom sector/industry including Airtel.
“We see them as our ideal long-term strategic partner who shares our core values — focus on quality, engineering prowess, innovation and customer satisfaction — and we intend to leverage each other’s strengths to manufacture telecom and networking products,” Saurabh Gupta, Chief Financial Officer, Dixon Technologies, said.