Taiwanese electronics manufacturing giant Foxconn has injected approximately ₹350 crore (USD 37.2 million) into its Indian subsidiary, Foxconn Hon Hai Technology India Mega Development Private Limited. This significant capital infusion, made through its Singapore-based entity Foxconn Singapore, aims to further solidify the company’s position in India’s burgeoning electronics manufacturing sector, particularly in the production of iPhones.
The investment, approved by Foxconn’s board on June 25, saw Foxconn Singapore acquire over 351.7 million shares in the Indian arm at a face value of ₹10 per share. This transaction has increased Foxconn Singapore’s stake in the Chennai-based subsidiary to 99.99%, with the cumulative valuation of the Indian entity now standing at approximately USD 2.82 billion. Another group entity, Yuzhan Technology (India) Private Limited, holds a minor stake.
This move underscores Foxconn’s deepening commitment to India as a key manufacturing hub. The company has been progressively expanding its operational footprint across southern India, with significant facilities in Tamil Nadu, Karnataka, and Telangana. The Sriperumbudur facility in Tamil Nadu, which manufactures iPhones for Apple, is one of its largest and includes extensive worker housing.
Foxconn’s strategic investment aligns with India’s broader economic agenda to boost domestic manufacturing and integrate further into global supply chains. The Indian government’s supportive policies and the growing demand for electronics have made the country an increasingly attractive destination for global manufacturers.
In the past year, Foxconn had also invested approximately USD 1.48 billion (around ₹12,800 crore) in its Tamil Nadu-based Yuzhan Technology, which is involved in assembling iPhone display modules. Alongside other major players like Tata Electronics and Pegatron India, Foxconn is a significant contributor to India’s expanding iPhone manufacturing capabilities, catering to both domestic consumption and export markets.
The company has indicated that this capital infusion is a long-term strategic investment, funded through internally generated funds. This reinforces Foxconn’s confidence in India’s manufacturing ecosystem and its growing importance in the global electronics supply chain. The investment is part of Foxconn’s broader strategy to scale operations in advanced manufacturing technologies, electric vehicles, and artificial intelligence.
The latest capital infusion does not involve any change in business operations or ownership structure, and no brokerage fees were incurred. The investment carries no restrictive covenants or special contractual conditions, signifying a straightforward strengthening of internal capital.
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The Chenab Times News Desk
