Voltas has signed a Binding Term Sheet with Atomberg Innovation, a material subsidiary of Atomberg Technologies which engages in the design, manufacture and supply of motors, electronic assemblies, controller systems and related components, to establish a Joint Venture (JV) for the manufacture of high efficiency Room Air Conditioner (AC) compressors and parts related to such compressors in India.
The proposed Joint Venture is intended to undertake the development, manufacturing, and supply of Air Conditioner Compressors, with a strong emphasis on high energy efficiency, operational reliability, cost competitiveness, and progressive localization. It aims to bring together Voltas’ deep understanding of the Indian Room Air Conditioner market, product and application expertise, manufacturing ecosystem, supply chain capabilities and scale with Atomberg Innovation’s capabilities in proprietary compressor technology, first-principles engineering, product design capabilities and track record of innovation in energy efficient motors and control drives.
Voltas will be an anchor customer of the Joint Venture, providing a strong and stable demand base, while Atomberg Innovations will be the technology partner, bringing its technology and innovation capabilities to the venture. The Joint Venture will also have the opportunity and flexibility to supply Air Conditioner Compressors to other customers, enabling broader market participation, scale, and long-term competitiveness.
Voltas, founded in India in 1954 and part of the Tata Group, is a premier air conditioning and engineering solutions provider, projects specialist, and one of the leading players in the consumer durables category.
