Dixon Technologies (India) (NSE:DIXON, BOM:540699) signed a binding term sheet with Gemtek Technology (TPE:4906) to form a joint venture for telecom products manufacturing in India.
Under the structure, Dixon will hold 60% stake in Dixon Electroconnect while Gemtek will hold the remaining 40%, subject to definitive agreements and regulatory approvals, according to a Tuesday filing on Indian bourses.
The proposed partnership will focus on manufacturing and supplying optical transceivers - small formfactor pluggable and bidirectional optical subassemblies, along with other telecom products as mutually agreed.