(Yicai Global) March 5 -- Units of Chinese train interiors maker Ktk Group will set up a joint venture with a Hong Kong-based electronic device startup to start manufacturing consumer electronics in India. 

Ktk's Hong Kong and Singapore subsidiaries will pay USD99 million for a 60 percent stake in the JV, while Hong Kong Hcomtel Information Technology will hold the remainder, the Changzhou-based locomotive firm said in a statement today. The project company will have an initial investment of USD3.7 million.

The move aims to grasp business opportunities in India's rapidly developing consumer electronics market, while leveraging on Ktk's strengths in funding and business management, and benefiting from its partner's advantages in technology, design and sales, Ktk said, adding that the switch of sectors involves certain risks. 

Editor: Emmi Laine