Sobha Developers Limited, one of the leading real estate development and construction company in India, has signed a Letter of Intent (LoI) with German technical services firm TUV Rhineland Group for the setup of a joint venture (JV).

However, the company did not disclose financial details of the transaction or the scope of the joint venture.  

The JV aims to build a brand 'Sobha-TUV Rheinland' which transforms the perception of clients relating to quality, safety and security serving businesses.

In the proposed joint venture TUV Rheinland and Sobha will hold equal share.

Sobha Developers has registered 34% increase in net profit at Rs 611.0 million for the quarter to December 2007. Its sales increased by 19% to Rs 3,553.0 million.