Imagine Marketing, which manufactures products under the brand ‘boAt’, on Tuesday announced a 50-50 joint venture with Dixon Technologies for the design and manufacture of wireless audio products in India. The companies will co-invest in the Indian mobile accessories market.
They estimate the joint venture to earn revenues of about ₹1,000 crore in the next four years, and will be making an investment of about ₹40 crore during the period, said Saurabh Gupta, chief financial officer, Dixon Technologies.
Vivek Gambhir, CEO, boAt, added that the joint venture was expected to create direct employment for 500-600 people over the next couple of years. “boAt’s understanding of the audio industry combined with Dixon’s manufacturing capabilities will facilitate a vibrant platform for electronics accessories design and manufacturing in India. With a focus on IP, product design and quality assurance, and high-quality manufacturing, the joint venture is aimed at paving the way towards the “Make in India” initiative,” Mr Gambhir said.
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He added that while the plan is to design and manufacture audio products for boAt, the joint venture may also look at manufacturing for other brands in India, in the future.
“There is not ecosystem for manufacturing audio accessories in India…this JV will give us an opportunity to manufacture in India for India, but also in India for the world,” Mr. Gambhir said.