COMMERCIAL vehicle manufacturer Eicher Motors (EML) and Swedish truck major AB Volvo have agreed to form a joint venture with an equity value of $768 million. The two partners have signed a letter of intent to this effect here on Monday and expect the JV to start operations by July next year. The Indian partner will hold a 54.4% stake in the JV, while Volvo will own 45.6%. It will focus mainly on distribution of commercial vehicles in India as well as abroad, where the partners have interest like R&D and manufacturing. Besides, the two companies are also mulling financial services business through the JV. “The partnership gives us the opportunity to share each other’s strengths. While we can offer our low cost design and engineering capability, sales and service network in India, Volvo can offer Eicher the technology and access to global markets,” Eicher Motors MD and CEO Siddhartha Lal said