Dixon Technologies (India) subsidiary Dixon Electroconnect has entered into an agreement with Gemtek Technology to form a joint venture (JV) in India for the manufacture and supply of optical transceivers and other telecom products.
The proposed venture will manufacture and supply optical transceiver small form-factor pluggable modules, bidirectional optical subassembly components and other telecom products as mutually agreed upon by the parties. Under the proposed structure, Dixon Technologies will hold 60 per cent of Dixon Electroconnect’s total paid-up share capital, with Gemtek holding the remaining 40 per cent stake upon completion of the transaction.
The deal remains subject to the execution of definitive agreements, fulfilment of customary conditions precedent and receipt of applicable statutory, regulatory and other required approvals.
Further, Dixon said the joint venture will combine its manufacturing capabilities with Gemtek’s expertise in optical modules, telecom infrastructure and networking technologies. Meanwhile, Gemtek said the venture is part of its expansion in optical communications and aims to address growing demand from high-speed networks and data centre infrastructure.
