Nokia’s Chennai plant is up for sale and local device maker Lava could purchase it for a good price. The factory has been involved in a tax dispute with local authorities, so it needs a saviour of sorts.


The Economic Times see Lava as the solution here. Obviously, we have no details about the deal, since the two companies have probably signed a non disclosure agreement. However, a person close to the matter has stated to the publication that Lava’s manufacturing team has already visited the site and they’ve analyzed the situation. Nokia will get a proposal in mid December, after everything is assessed.

Then there’s also the tax issue and someone has to pay. Interestingly, this problem also affected the Microsoft – Nokia Devices transaction, since the Chennai plant couldn’t be transferred to Microsoft because of its debt. In the meantime, the factory is not in use and worker unions are protesting. Lava is India’s third largest smartphone vendor and it could make good use of this facility.