(MENAFN- KNN India) New Delhi, Dec 16 (KNN) Dixon Technologies (India) Limited and Vivo Mobile India Private Limited have announced a significant strategic partnership, signing a binding term sheet on Sunday, to establish a joint venture focused on electronic device manufacturing, with an initial emphasis on smartphone production.

The proposed joint venture will see Dixon Technologies holding a majority 51 percent stake, while Vivo India will retain a 49 percent ownership in the new entity.

This collaboration is strategically designed to manage Vivo's original equipment manufacturer (OEM) smartphone orders within India, with potential future expansion into manufacturing electronic products for additional brands.

The agreement is currently contingent upon several critical steps, including the execution of definitive agreements, fulfilment of customary precedent conditions, and obtaining necessary regulatory approvals, which include foreign exchange control clearances.

Atul B. Lall, Vice Chairman and Managing Director, Dixon, highlighted the partnership's strategic significance, emphasising the shared commitment to quality and engineering excellence.

Similarly, Jerome Chen, CEO, Vivo India, underscored how the collaboration will effectively complement the companies' existing manufacturing capabilities.

Dixon Technologies, recognised as India's premier home-grown design-focused manufacturing enterprise, brings a robust and diversified portfolio to the venture.

The company's expertise spans multiple technology sectors, including consumer electronics, home appliances, lighting products, mobile phones, wearables, and telecom hardware.

This joint venture represents a notable development in India's rapidly evolving electronics manufacturing landscape, signalling continued growth and strategic collaboration in the technology sector.

(KNN Bureau)

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