India's top car maker, Maruti Udyog Ltd, said on Wednesday it would set up a joint venture with Bellsonica of Japan to make components.
Maruti -- in which Suzuki Motor Corp owns 54.2 per cent -- would hold 30 per cent in the joint venture which will have a paid-up capital of Rs 120 million ($2.6 million).
The venture, Bellsonica Auto Component Pvt Ltd, would commence operations in November 2007, Maruti said in a statement.
The new company would supply components to Maruti's cars and Suzuki's motorcycles.
Ahead of the news, shares in New Delhi-based Maruti ended up 3.3 per cent at Rs 813.40.