Bharat FIH will invest a significant capital of Rs 400 crore in its wholly owned subsidiary, Rising Stars Hi-Tech. This investment aims to increase the possibilities in the field of production of electronic and electrical products. Bharat FIH is the Indian entity of FIH Mobile, a subsidiary of Hon Hai Precision, better known as Foxconn. The announcement was made by FIH Mobile, according to a report from The Economic Times (ET), and is scheduled for December 2023.
This investment is a long-term commitment for working capital and general corporate purposes for Rising Stars Hi Tech. While the planned capital injection is expected to be executed in December 2023, it is subject to necessary formalities and procedures as per Indian laws and regulations.
The capital infusion, upon completion, will increase the total issued share capital of Rising Stars Hi Tech to Rs 450 crores, the company added AND report. This strategic move is in line with Foxconn's ongoing efforts to expand its footprint in India, with the recent announcement coming a week after a $1.5 billion investment in an Indian construction project by the tech giant.
Bharat FIH, formerly known as Rising Stars Mobile India, was founded in 2015 in Sri City in Andhra Pradesh. In 2017, it expanded its operations to Sunguvarchatram and Sriperumbudur near Chennai. The company has diversified its portfolio to include the production of mobile phones, electric vehicles, televisions, hearing aids and more. It has also collaborated with several brands including Xiaomi.
In its filing to the Hong Kong Stock Exchange dated December 5, acting chairman Chuh Yu Yang outlined that Rising Stars Hi Tech focused on the production and sale of hi-tech electronic and electrical products, including televisions, electric vehicles, telecommunications equipment and IT hardware and components. .
First print: December 7, 2023 | 1:00 pm IST