Foxconn invests Rs 1,200 cr in Karnataka-based subsidiary in big manufacturing push
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In a boost to local electronics manufacturing, Foxconn has pumped in nearly $144 million (Rs 1,200 crore) into its Karnataka-based subsidiary, according to the company’s regulatory filing.
The key iPhone contract manufacturer has infused the money in Foxconn Hon Hai Technology India Mega Development Pvt Ltd, via its Singapore-based arm Foxconn Singapore Pte, which bought over 120.35 crore shares at Rs 10 per share, according to the filing.
With this, Foxconn Singapore's total investment in the Karnataka unit has crossed Rs 13,800 crore.
Foxconn is planning to invest Rs 22,000 crore to establish a huge manufacturing plant near Doddaballapur and Devanahalli Taluk of Bengaluru Rural District that will generate at least 40,000 jobs. The upcoming Karnataka unit would become the second-largest Foxconn plant globally.
According to Foxconn Chairman Young Liu, their investment will not stop here and in the future, “we plan to explore other sectors also”.
Karnataka Chief Minister’s office last week said that setting up of the Foxconn iPhone assembly plant in Bengaluru Rural district with Rs 22,000 crore investment is progressing well. The government has also assured complete support and commitment to ensure Foxconn gets all the assistance required in this process.
According to a statement after the meeting of Chief Minister Siddaramaiah and Foxconn CEO in Bengaluru, the work is progressing well in this project with construction in progress.
“The Commerce and Industry Department, in collaboration with other relevant departments, is actively working on securing all necessary license approvals for the project. Additionally, power and water supply specific to the project are being planned and implemented,” said the statement.
Foxconn is also setting up a manufacturing and assembly facility for mechanical components in EV applications (Project Cheetah). The company has leased private land in the Bengaluru district for this project.
The Taiwanese contract manufacturing giant’s business in India has surged to $10 billion till last fiscal. Foxconn is a major Apple supplier globally and has invested $1.4 billion in India to date, with more to come.
