Mumbai: India’s Reliance Infrastructure is planning a joint venture with China’s Shanghai Electric Corp to set up a Rs120 billion ($2.8 billion) power equipment plant in India by 2010, the Business Standard reported on Monday, citing a source.
“Both companies will sign a framework of agreement for long-term strategic cooperation on Monday,” the paper quoted an unnamed source in Reliance Infrastructure as saying.
The equal joint venture would have to raise Rs95 billion in debt to build the plant, which would have an initial capacity of 10,000 megawatts, the paper said.
However, a Reliance Infrastructure spokesman could not be reached for comment immediately.
The Indian company also planned to sign four more joint ventures with Shanghai Corp to offer services to utilities in India, the paper said.