Mumbai, Dec. 18: Tata Motors will invest close to Rs 120 crore in a joint venture with Thonburi Automotive Assembly Plant Co (Thonburi), a Thailand-based independent assembler of automobiles. The joint venture company will manufacture, assemble and market pick-up trucks.

The agreement was signed today by Tata Motors managing director Ravi Kant and his Thonburi counterpart, Robru Viriyaphant. The company expects to sell close to 30,000 trucks in around four years from now.

Tata Motors will hold a 70 per cent stake in the joint venture and Thonburi 30 per cent. Vehicles will be manufactured in Thonburi’s facility. Both partners will jointly manage the operations. The pick-up trucks will conform to international standards in quality and safety, and will be marketed in Thailand and exported to other potential markets in the region.

Tata Motors said the venture will help it cater to Thailand — the second largest pick-up truck market in the world after the US.

Kant said both companies have also discussed manufacturing other products such as buses. Though developments are at a preliminary stage, Thonburi has a strong presence in buses, he added.

Viriyaphant said the new pick-up truck would be the right product for both domestic and export markets. The joint venture offered Thonburi an opportunity to expand its business portfolio, he added.

Tata Motors chairman Ratan Tata said, “Introduction of Tata Motors pick-up vehicles and a manufacturing facility in Thailand provide a unique opportunity to the company. We believe the joint venture will make meaningful impact in this competitive market for pick-up vehicles.”

After opening at Rs 860.55, the Tata Motors share closed at Rs 888.80 on the BSE today.