"We will invest Rs 900 crore by 2008 to expand our manufacturing facilities at Pune out of which Rs 400 crore (Rs 4 billion) will be towards DVD writers," Kwang-Ro Kim, managing director, LGEIL said after signing the memorandum of understanding in Mumbai.
The company had heavily invested in China in the last 10 years and the additional investment in Maharashtra is a part of the company's plans to diversify its investments across various countries, he said.
The DVD writer plant would be Asia's second largest DVD writer plant and 80 per cent of the DVD writers from the plant would be for exports.
The new plant would enable the company to touch an export turnover of $40 million by 2008, which would contribute to 10 per cent of LGEIL's turnover, Kim said.
The company plans to manufacture colour televisions, air conditioners, refrigerators, washing machines, microwave ovens and colour monitors and would involve a manpower of 3,500.
LGEIL is aiming a turnover of Rs 2,600 crore (Rs 26 billion) by 2008 for DVD writers. Under the MoU, the state government would grant tax subsidies to the company.
