The Videocon Group is planning to invest about Rs 500 million to set up a mobile handset making facility in Kolkata. The assembly unit will come up at its existing facility at Salt Lake area, which manufactures LED TV sets.

The new factory is expected to become operational by October 2015. It will have an annual capacity of manufacturing three million devices. However, initially, the focus will be on assembling both feature and smart phones.

This will be the second handset manufacturing facility for Videocon after Aurangabad, which has an annual capacity of 3-4 million units. Videocon forayed into the mobile manufacturing and assembling business about four years ago and currently manufactures mobiles under Videocon and Sansui brands.

Further, the company is planning to send another Rs 1 billion in ramping up its Phulbari facility in Jalpaiguri district. The facility located in North Bengal caters to computer peripherals and assembly of devices. About Rs 250 million has already been invested in the facility, while the remaining will be spent towards expanding the facility to include manufacturing of mobile accessories and peripherals like batteries and chargers.