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Taiwanese technology manufacturer Foxconn is partnering with Indian software and engineering firm HCL Group to set up a semiconductor packaging and testing venture in India in a deal worth $37.2 million.

The move, revealed in a regulatory filing with Taiwan’s stock exchange, comes about six months after Foxconn — also known as Hon Hai Precision — pulled out of a planned semiconductor fabrication joint venture with Indian firm Vedanta Group.

Under the terms of the deal, Foxconn’s Hon Hai Technology India Mega Development unit will get a 40% stake in ajoint chip packaging and testing venturem — known colloquially as OSAT — with HCL Group.

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