The Competition Commission of India (CCI) has granted approval to Tata Electronics (TEPL), a wholly-owned subsidiary of Tata Sons, to acquire a majority stake in Pegatron India, the Indian arm of Taiwanese contract manufacturer Pegatron Corporation.

The acquisition will take place in two tranches, with TEPL securing a 60 percent stake in Pegatron India. This strategic move aligns with Tata Electronics’ expansion plans in high-precision manufacturing and electronics services. Pegatron India operates a major manufacturing facility in Chennai, employing around 10,000 workers and producing around five million iPhones annually for export to markets in North America, Asia, and Europe. 

Pegatron is a prominent supplier for Apple and provides electronics manufacturing services (EMS) for smartphones, including iPhones. The acquisition underscores Tata Electronics’ ambition to establish itself as a key player in the global electronics supply chain, particularly in the smartphone segment. 

Tata Electronics has been strengthening its foothold in the electronics manufacturing sector. In October 2023, it acquired Wistron InfoComm, marking a significant milestone as the first Indian company to manufacture iPhones for both domestic and global markets. The company operates through its subsidiary, Tata Electronics Systems Solutions, which specialises in EMS for smartphones.