Piaggio Firm To Pick Up Stake In Electronics Unit Of Lml

The modalities of the proposed joint venture are still being worked out but the Piaggio subsidiary is likely to pick up a minority stake in the venture.

Facind has a reputation in electronics ignition, system testing , ignition coild and voltage regulator technology.

In a related development, Uttar Pradesh State Industrial Development Corporation and LML have reached an out-of-court settlement for allotment of land. The UPSIDC has agreed to allot the company five acres.

The company has acquired this piece of land to bring the three production units of its industrial electronics division under one roof.

The three units of LML's industrial electronics division have been at the forefront of the company's indigenisation plans.

 

LML recently developed and patented technology for a speed alarm in the speedometer of its scooters. The alarm goes off when the driver exceeds a certain speed limit.

The company's `Supremo' model, which hit the roads last month, has the speedometer alarm.

Sources in LML said the division was being spun off in view of its success in developing new products and the company's emphasis on indigenisation.

Although LML has also had talks with a Spanish firm, it is more keen on the Piaggio subsidiary as the Italian firm already has about 25 per cent in LML.

LML had taken UPSIDC to court over allotment of plots ahead of the company to parties that had paid the entire amount upfront .