Bangalore, Feb 13 (UNI) Centum Frequency Products, subsidiary of Centum Electronics, has entered into a joint venture with New Zealand-based Rakon to design and manufacture frequency control products (FCP) alongside its existing product lines in the city.
Rakon is a world leader in development of frequency control solutions for a wide range of applications. It has leading market position in supply of crystal oscillators to GPS, telecommunications network and aerospace market.
Centum Electronics would hold 51 per cent of the stakes in the JV and Rakon the rest and the new company would be named Centum Rakon Pvt Ltd, Centum Managing Director Apparao Mallavarapu said today.
Speaking at a press conference here, he said with the addition of oven controlled crystal oscillator (OCXO) the Centum would be one of the companies in the world to have the technology to OCXOs.
"The JV is likely to achieve sales of over Rs 100 crore in next two to three years. Racon will have exclusive rights to sell products manufactured by the JV outside India and Centum within India," he said.
Rakon Managing Director Brent Robinson said that "moving some of our manufacturing capacity to India is consistent with the constant evolution of our international manufacturing model and our objective of having a highly competitive, world leading cost base." He said Rakon had seven year working relationship with Centum through the outsourced manufacturing of its voice controlled crystal oscillator (VCXO) product range.
The JV would settle in late March with the manufacturing of selected products currently being undertaken in France moving to India over a six month period.
UNI RS MSP RKN1437