The Electrolux Group forms new joint venture in India
The Electrolux Group forms new joint venture in India The Electrolux Group, the world's largest household appliance manufacturer, is forming a new joint venture in India. Electrolux and Voltas Limited of India, a leading manufacturer of refrigerators and washing machines, have reached an agreement to form the new joint venture company, Electrolux Voltas Private Limited, of which 74% is owned by AB Electrolux and 26% by Voltas Limited. The management team for the new company will be appointed by Electrolux. In the first phase of the joint venture, two Voltas factories - a refrigerator and compressor factory in Warora, India, and a washing machine factory in Butibori, India - will be transferred to the new company, together with the Voltas brand name. The changes are effective as of October 1. In the second phase, two additional Voltas factories - a refrigerator factory in Nandalur and a compressor factory in Hyderabad - will be transferred to the new company, along with the Allwyn brand name. These changes are expected to take place on April 1, 1999. "The two steps together will make us India's largest refrigerator manufacturer, and will roughly double Electrolux's sales in India to about 200 million USD," says Mr. Lennart Ribohn, President of AB Electrolux's New Markets Division. The Electrolux Group is already involved in three joint ventures in India: Maharaja International Limited, which manufactures and sells Kelvinator brand refrigerators; Intron Limited, which manufactures and sells Electrolux brand front-loading washing machines; and Eureka Forbes Limited, which manufactures and sells water purifiers and vacuum cleaners. AB Electrolux currently holds 55% equity in Maharaja International Limited, 74% equity in Intron Limited, and 40% equity in Eureka Forbes Limited. For further information For further information, please contact Mr. Lennart Ribohn, President, New Markets Division, AB Electrolux, at +46-8-738 70 70. The Electrolux Press Hotline is available at +46-8-657 65 07.