Tata Group Finalises Acquisition of Wistron
The Tata Group is now able to formally enter the Apple supply chain as an iPhone assembler after entering into a legally binding share purchase agreement with SMS InfoComm (Singapore) and Wistron Hong Kong Limited to buy a 100% equity investment in Wistron Infocomm Manufacturing (India).
"For us, completing the Share Purchase Agreement to buy Wistron InfoComm Manufacturing (India) Private Limited marks a significant accomplishment. Dr. Randhir Thakur, CEO and Managing Director of Tata Electronics, said in a statement, "the EMS (Electronic Manufacturing Services) industry in India is poised for growth given the strong support from the government. We are happy to be participating in this growth story".
“We are focused on strengthening our capabilities in the manufacturing sector. I thank the entire Wistron team for their cooperation throughout this process,” he added. The Tata Group unveiled the plan to acquire Wistron India officially on October 27, announcing it would pay $125 million for 100% equity stake for the company’s assembly lines. The deal is worth a total $750 million inclusive of a $550-million inter-corporate loan given by the parent to Wistron India.
The Tata Group began producing a semi-finished iPhone SE model in India when it opened a casing plant in Hosur, Tamil Nadu, to join the iPhone supply chain. The Tata Group will be able to begin producing iPhones from start to finish in India with the purchase of the Wistron unit, making it the first Indian company to join the ranks of Foxconn, Pegatron, Luxshare, and Wistron in the iPhone manufacturing industry.