Apple supplier Luxshare Precision is looking to grab a piece of the iPhone assembly pie, as it has reached an agreement with Wistron to purchase one of its iPhone assembly plants n the Chinese city of Kunshan.
The Nikkei Asian Review reports Luxshare Precision, who handles assembly duties for Apple’s AirPods and Apple Watch will benefit from Wistron’s iPhone production expertise as part of the deal.
Earlier this year, Apple industry analyst Ming-Chi Kuo mentioned the possibility of Luxshare entering the iPhone assembly business, likely starting with older models. Luxshare first began its relationship with Apple back in 2013, making cables and connectors for the Cupertino company.
Wistron has manufactured iPhones for Apple since 2015 and has plants in China and India. The deal with Luxshare Precision is said to be worth $472 million dollars. Luxshare is purchasing two Chinese subsidiaries of Wistron. Wistron announced its intentions of selling the subsidiaries in a filing with the Taiwan Stock Exchange on Friday.