• Source:JND
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The Competition Commission of India (CCI) on Tuesday approved Tata Electronics' proposal to acquire a majority stake in Apple's contract manufacturing company Pegatron Technology India. Tata Electronics Private Limited (TEPL) is a wholly owned subsidiary of Tata Sons. TEPL specializes in manufacturing high precision components for large customers.

The proposed combination envisages Tepil acquiring the majority stake in Pegatron India in two tranches, CCI said in a statement. Tepil is also involved in providing electronics manufacturing services (EMS) for smartphones through Tata Electronics Systems Solutions (formerly known as Wistron Infocomm Manufacturing (India)).

The fair trade regulator also allowed Tata Electronics to transfer the business venture of Tail Components, a wholly-owned subsidiary of Tepal, to Pegatron India.

“The Commission on the acquisition of certain shareholdings in Tata Electronics Pvt Ltd (Pegatron India) by Tata Electronics Pvt Ltd (TEPL) and the transfer of business functions of Tel Components Pvt Ltd (TEL) to Pegatron India,” the regulator said Approved.’ A post on Approved to do."

Pegatron India is a subsidiary of Pegatron Corporation. Pegatron India is engaged in providing electronics manufacturing services for smartphones to the likes of Apple Inc. and exports its products to countries in North America, Asia and Europe.

In April, Tata Electronics was in talks with Pegatron to acquire a majority stake in India. factory.

Tata Electronics bought the iPhone unit of Bangalore-based Taiwanese company Wistron in November 2023 for $125 million. Contracts above a certain threshold require the approval of the regulator, which looks out for unfair business practices and promotes fair competition in the market.

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(With Inputs From PTI)