Optiemus buys out Wistron stake in manufacturing JV

New Delhi: Wistron Corporation has exited the joint venture with Optiemus Infracom, which has acquired Wistron’s 19.91% shareholding in subsidiary Optiemus Electronics Limited.

The unit will now become a wholly-owned subsidiary of Optiemus Infracom.

“Optiemus Infracom Limited, leading telecommunications enterprise today announced the completion of the acquisition of 27,60,000 Equity shares (19.91% of the total share capital) of Optiemus Electronics Limited, Subsidiary and Joint Venture Company, by way of transfer from Wistron Corporation,” it said in an exchange filing on Thursday.

“This acquisition is aimed to drive value creation for all the stakeholders by strengthening the ownership and work towards enhancing the brand image of Optiemus” Ashok Kumar Gupta, Chairman, Optiemus Infracom said.

“It will also help us in foraying into new business verticals besides building up the existing business verticals. This will result in to mitigation of associated business risk and achievement of greater financial flexibility and earnings,” he said.

Optiemus has been approved under the central government's production-linked incentive for mobile phones under the domestic manufacturers’ category whereas Wistron is approved under global maker’s category.

Taiwan’s Wistron, the world’s second largest contract manufacturer, entered India in 2015 by forming the joint entity with Optiemus.

They had jointly made mobile phones for LG, Blackberry, HTC, Oppo, OnePlus, and JioPhones.