India’s NK Minda Group said today it had signed a joint venture agreement with Valeo Electrical Systems, a unit of French car parts maker Valeo, to set up a plant in India.
The joint venture company, Valeo Minda Electrical Systems India Pvt. Ltd., will make starter motors and alternatives for cars initially, the companies said in a statement.
The joint venture will be 66.7 percent owned by Valeo, with the remainder held by NK Minda group, the parent of Minda Industries Ltd.
The joint venture will invest 1.0-1.2 billion rupees ($30 million) in the plant in the western city of Pune.
Commercial production will begin in March 2008, and the company expects to achieve revenues of 2.75 billion rupees in the fifth year of operations, it said. ($1=40.3 rupees)
