Tech Mahindra signs agreement to form joint venture with Sumitomo Corp

IT company Tech Mahindra has signed an agreement with Japan-based Sumitomo Corporation for setting up a joint venture to provide engineering service to the automotive sector, a company official said on Friday.

Both the companies will hold an equal stake in the joint venture.

"Japan is a strategic market for Tech Mahindra and we are delighted to partner with a globally diversified group like Sumitomo Corporation. The joint venture is subject to regulatory filings and approvals, and we will elaborate on the details of our plans post such approvals," Vivek Agarwal, Global Head, Enterprise Verticals Solutions and Portfolio Companies, Tech Mahindra told PTI.

Each of the joint venture partners will initially subscribe to 2,000 ordinary shares and contribute around 7 crore towards capital.