JK Paper today said it has formed a joint venture with Japan's Oji Holdings Corporation and Marubeni Corporation for manufacturing and sales of corrugated paper products with plans to invest Rs 150 crore on a new plant in Rajasthan.
In the new JV -- Oji India Packaging Pvt Ltd (OIPPL) -- Oji Holdings will hold 60% stake, while Marubeni and JK Paper each will have 20%.
"OIPPL proposes to set up a manufacturing facility at RIICO (Rajasthan State Industrial Development & Investment Corporation Ltd) Neemrana Industrial Park Phase 3.. and has been allotted land for the purpose," JK Paper said in a filing to the BSE.
The company said the plant will have a capacity to manufacture corrugated packaging products of 34,000 tpa at an investment of Rs 150 crore, it added.
It is targeting companies in auto components, high-end electronic and consumer durables sectors located in the region as consumers of its corrugated packaging products.
JK Paper said OIPPL will apply to concerned authorities for change of name to Oji JK Packaging Pvt ltd after subscription of shares by it and Marubeni.
