Pavna Industries partners with Taiwan’s SmartChip Microelectronic Corporation in an 80:20 joint venture to produce electronic components for automotive and other industries, alongside a 1:10 stock split.

Pavna Industries Announces Joint Venture With Taiwan’s SmartChip

Mumbai, India – Pavna Industries Limited, a leading Indian auto components manufacturer, has entered into a joint venture (JV) with Taiwan-based SmartChip Microelectronic Corporation to expand its footprint in the electronic components market for multiple industries.

According to an official exchange filing, the JV will focus on producing high-tech components for internal combustion engine (ICE) and electric vehicles (EVs), as well as electronics for residential and commercial door locking systems, aerospace, and medical sectors.

80% Majority Stake for Pavna Industries

The new JV will be structured with Pavna Industries holding an 80% stake, while SmartChip Microelectronic Corporation will own the remaining 20%.

The authorised and paid-up capital of the JV is set at ₹5,00,000, divided into 50,000 equity shares of ₹10 each. Both companies will subscribe to the equity shares at face value.

Industry analysts believe this partnership could help Pavna leverage Taiwanese technological expertise to enhance product quality, diversify offerings, and expand into export markets.

Stock Split and Record Date

Earlier, Pavna Industries announced a 1:10 stock split, setting September 1, 2025, as the record date. This corporate action aims to improve stock liquidity and make shares more affordable for retail investors.

Share Price Performance

• Last Close: ₹410.35 (-2.03%)
• 52-Week High: ₹759.55 (October 14, 2024)
• 52-Week Low: ₹295.20
• 2-Year Return: +86%
• 1-Year Change: -21%
• 2025 YTD Performance: -69%

Despite a sharp correction in 2025, Pavna’s long-term growth trajectory remains intact, especially with its diversification into high-value electronics manufacturing.

Market Context

The announcement comes amid a volatile trading session where benchmark indices Sensex and Nifty closed flat on Thursday. However, sector analysts suggest that strategic JVs in advanced manufacturing could provide long-term growth catalysts for companies like Pavna.

Outlook

With the automotive sector rapidly adopting EV technology and industries shifting toward smart, connected components, Pavna Industries’ new JV could open significant revenue streams. The 80% controlling stake ensures the company will steer operational strategy, while the Taiwanese partner’s expertise could accelerate product innovation.