BPL to transfer CTV unit to Sanyo JV for 80 million

The total investment in the new venture is expected to be around Rs 500 crore. The investment includes value of the CTV business undertaking to be transferred to the JV company by BPL.

The new JV would start with colour televisions and soon explore entry into other consumer electronics product areas.

The television business contributed 60 per cent of BPL8217;s revenue. The company has been facing a massive cash crunch and losses. It also took huge loans to make a foray into telecom and power businesses.

BPL group founder T.P.G. Nambiar said, 8216;8216;we have cemented our close long-term relationship with Sanyo through this agreement and believe that Sanyo and BPL, working together, will create an impressive platform of global technologically advanced products for the Indian consumer8217;8217;.

With the sale of CTV division, BPL will be left with no major source of revenue barring its audio and washing machines businesses.

Analysts said the Japanese company did not buy BPL as the company8217;s balance-sheet was mired in huge debts and Sanyo wanted to promote its brand in India.