Mahindra World City entered Joint Venture with Sumitomo to set up industrial park in Chennai
The venture will have 60 per cent equity participation from Mahindra World City and the balance 40 per cent from Sumitomo.
Mahindra World City Developers Ltd (MWCDL), a subsidiary of Mahindra Lifespace Developers Ltd (MLDL) of the Mahindra Group and Sumitomo Corporation of Japan have entered into an agreement to form a joint venture to set up an industrial park in North Chennai (the NH5 corridor).
The decision was announced on 28 May 2015 by the two companies in Mumbai.
Key Features of the Industrial Park
• The joint venture company called as Mahindra Industrial Park Chennai Ltd will have 60 per cent equity participation from Mahindra World City and the balance 40 per cent from Sumitomo.
• Around 375 crore rupees will be invested including cost of land and infrastructure.
• In the first phase, the industrial park will come up on a 300 acre land in North Chennai, identified among India’s 100 smart city projects.
• The focus sectors include automotive and auto ancillary, engineering, food processing, electronics and hardware and logistics.
The industrial park is targeted at Japanese companies which would be interested to set up base in India under the Union Government’s Make in India initiative. Already over 500 Japanese companies are operating from industrial zones in Tamil Nadu.
Besides Japanese companies, the joint venture partners are also targeting companies from China, Taiwan, Korea, the U.S. and Germany.
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