Mumbai, Oct 20: Siemens AG has set up a marketing and technology joint venture with the Mumbai-based Emco Ltd for the manufacture of high voltage transformers. In the new entity, Siemens Power Transformers (SPTL), the German major will have a controlling stake of 51 per cent and the balance will be held by the local partner. Initial paid up capital of the company is pegged at Rs 10 crore. Siemens managing director J Schubert said that Siemens has now become a complete supplier in the energy segment in India having capabilities to build power plant to provide total solution in power transmission and distribution system in the country.SPTL will undertake engineering, design, testing, marketing and servicing of transformers of 220kv to 400kv capacities, said Siemens' transmission division president PR Dinandt. While Siemens AG would provide technology to support the joint venture, Emco would make available its production facility at Thane, Mumbai, he said, adding that the quality control would, however, be with the Siemens. The firm targets a revenue of Rs 100 crore by 2002, of which 60 per cent would come from domestic sales while the remaining would be from exports, Dinandt said. The potential markets to be catered to by the new company include Asia, Middle East and Africa. The venture will also benefit from the well-established marketing network of the partners in the country.
Emco chairman and managing director Rajesh Jain said following this joint venture the company will have a large range of transformers. "Besides, the joint venture will help Emco to maintain international standards for its new products. It would be a combination of an access to global information for conducting business as well as the support for creating new and better products constantly," he added.
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