Mumbai, June 10 -- Under the proposed structure, Dixon Technologies will hold 60% stake in Dixon Electroconnect, while Gemtek will own the remaining 40%, following completion of the transaction. Dixon Electroconnect, currently a wholly owned subsidiary of Dixon, will be converted into the joint venture entity.

The JV will focus on manufacturing optical transceiver products such as SFP (Small Form-Factor Pluggable) modules, BOSA (Bidirectional Optical Subassembly) and other telecom components as mutually agreed by the partners.

Dixon Electroconnect is also a beneficiary under the Electronics Components Manufacturing Scheme (ECMS), the company said.

The completion of the transaction is subject to execution of definitive agreements, fulfi...