Vedanta sets electronic chip goals
Vedanta Group expects its semiconductor business turnover to be in the range of $3-3.5 billion out of which around $1 billion will come from exports, a senior official of the company said.
Vedanta Group’s global managing director of display and semiconductor business Akarsh Hebbar told PTI that its JV partner Foxconn has all the agreements and required technologies in place to start making electronic chips.
Vedanta Foxconn JV is among three companies that have applied for setting up semiconductor manufacturing units in the country. Vedanta has also applied for setting up a display fabrication plant to make screens that are used for display in electronic devices.
“We expect our turnover to be in the range of $3-3.5 billion in the first phase which is by 2026-27. This will be from both display and semiconductor combined. “At that time we expect $1 billion to come from exports,” Hebbar told PTI.
Vedanta Group has earmarked investments of up to $20 billion for the semiconductor business, and it plans to invest $15 billion in the first 10 years. This is the second attempt of Vedanta Group to enter into the semiconductor business.
Earlier the company had announced plans to foray into the segment in 2015-16 with $10 billion to set up a display fab unit but it could not get government’s approval.
Later, Vedanta acquired Taiwan-based Avanstrate to enter into display fab manufacturing
Hindustan Motors (HM), the erstwhile maker of the iconic Ambassador cars, expects to set up a joint venture with an European partner to manufacture electric two-wheelers by next year, a senior official said.
The company might look at making electric four-wheelers at a later date, he said.
The financial due diligence of both the companies will start in July, which will take two months, after which the technical aspects of the joint venture will be looked into and this will take another month, director of Hindustan Motors, Uttam Bose, said.
“Only then, the structuring of investments (will be decided) and the new company formed, and this is expected to be completed by February 15,” he said.
Bose said after the formation of the new entity, two more quarters would be required to initiate the pilot run of the project, adding that the final product is likely to be launched by the end of next financial year