(Reuters) -Tata Electronics said on Friday it has bought a 60% stake in Taiwanese contract manufacturer Pegatron’s India unit that operates an iPhone plant, beefing up the Tata group firm’s position as an Apple supplier in a quick growing market.

The stake acquisition in Pegatron Technology India is for Apple Inc’s iPhone plant near the southern city of Chennai, a source aware of the matter told Reuters.

Tata Electronics and Pegatron didn’t immediately reply to Reuters’ requests for comment.

Tata Electronics didn’t reveal financial terms of the deal.

The corporate will now have two plants within the southern state of Tamil Nadu and one in neighboring Karnataka, which it took over from Taiwan’s Wistron last 12 months.

Apple is increasingly seeking to diversify its supply chain beyond China amid geopolitical tensions between Beijing and Washington.

Last April, Reuters reported that Pegatron had the backing of Apple and was in advanced talks to sell its only iPhone plant in India to Tata because the Taiwanese firm looked to cut back its partnership with Apple.

Tata, certainly one of the most important conglomerates in India, has been expanding into iPhone manufacturing, rivaling Foxconn, the one other iPhone contract manufacturer operating in India.

India’s competition regulator earlier in January approved Tata Electronics’ plan to purchase a stake in Pegatron Technology India.

(Reporting by Ashna Teresa Britto and Munsif Vengattil in Bengaluru; Editing by Sonia Cheema)