Bhagwati Products, Micromax’s electronics arm, plans a Rs 1,015 crore expansion into display and precision moulding to bolster India’s local electronics supply chain amid broader growth ambitions and potential IPO plans.
Bhagwati Products, the Micromax Informatics arm, is stepping deeper into electronics component manufacturing with plans to invest Rs 1,015 crore in display production and precision moulding, according to a company statement on Monday. The projects have been cleared by the Ministry of Electronics and IT under the Electronics Component Manufacturing Scheme, underscoring New Delhi’s push to build more of the supply chain in India rather than relying mainly on assembly.
The larger of the two projects is a Rs 450 crore display venture being taken forward through TXD India Technology, after Bhagwati Products bought a 51% stake in the company and secured Press Note 3 approval. The company said it will make mobile phone displays at TXD India’s existing plant in Bawal, Haryana, with an initial output of 1.5 million units a month. Over time, it plans to raise that to 3 million to 4 million a month and then move into automotive displays.
A second Rs 565 crore investment will go into precision moulding at the company’s Greater Noida site. Bhagwati Products said both lines are expected to begin production this year and together should help lift its employee base beyond 10,000. Rahul Sharma, co-founder of Bhagwati Products, said in the statement that the group’s investment is meant to build domestic capacity in areas where India still depends heavily on imports.
The latest expansion comes as Bhagwati Products, also known as BPL, pushes beyond its roots as a contract manufacturer for smartphones. Moneycontrol reported earlier that the company has started work on a domestic IPO and is targeting a valuation above Rs 20,000 crore, while other business publications have said it has rapidly expanded into tablets, wearables, IT hardware and parts for global brands including Vivo, Oppo, Lenovo and Acer. Those reports also point to a sharp rise in revenue and a broader push into automotive electronics and computing, suggesting the new display and moulding projects are part of a wider attempt to turn Bhagwati Products into a more vertically integrated electronics maker.
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