Business Desk, AnyTV, New Delhi
Published by: Deepak Chaturvedi
Updated Thu, 03 Mar 2022 12:34 PM IST
Summary
Reliance Industries Ties Up With Sanmina: Reliance Strategic Business Ventures Limited (RSBVL), a wholly owned subsidiary of Reliance Industries Limited, and Sanmina Corporation have announced the formation of a joint venture to advance India in the field of electronic manufacturing. Under this agreement, Reliance will invest Rs 1670 crore in the existing Indian unit of Sanmina.
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Expansion
Reliance holds 50.1% stake
According to a report released in this regard, Reliance will hold 50.1 per cent stake in the joint venture, while the remaining 49.9 per cent will be with Sanmina. Its management will be in the hands of the team of Sanmina Corporation. The report said that the joint venture will prioritize communication networking such as 5G, cloud infrastructure, hyperscale datacenters. It will also manufacture high technology hardware for industries such as health systems, industrial and defense and aerospace. Both the companies have described it as in line with Prime Minister pic.twitter.com/MTUrPcR1VY
— ANI (@ANI) August 22, 2021
Meanwhile, Prime Minister Narendra Modi‘s ‘Make in India’ initiative.
1670 crore investment
The joint venture between the two companies will continue to serve Sunmina’s existing customers as before, the report said. Along with this, a state-of-the-art Manufacturing Technology Center of Excellence will be set up, which will promote the eco-system of product development and hardware start-ups in India. RSBVL will acquire this ownership primarily through an investment of up to Rs 1,670 crore in new shares in the existing Indian arm of Sanmina. This investment will also help Sanmina to grow its business.
boosting the digital economy
The joint venture All construction will be done initially at the Sanmina complex in Chennai and expansion is planned in the times to come. Jure Sola, President and CEO, Sunmina, said, “We are extremely excited to be an integrated manufacturing company in India and partner with Reliance. At the same time, on this agreement, Akash Ambani, director of Reliance Jio said that it is necessary for India’s development and security to be self-reliant. Self-reliance in electronics manufacturing for telecom, IT, data center, cloud, 5G, new energy and other industries is essential as we move into a new digital economy. Through this partnership, we plan to foster innovation and talent in India while meeting Indian and global demand.