Last week we reported on the rumor in a report titled "Rumor suggests that China's Luxshare Precision is seeking to buy one of Wistron's Plants to enter Apple's iPhone Supply Chain." We noted in the report that "due to Wistron's expansion of iPhone production in India for Apple, the rumor has an air of possibility. Luxshare Precision has been praised over the years of being a reliable and innovative Apple supply chain partner."

One week later and the rumor has become fact. It's being reported today by the Nikkei Asian Review that Luxshare Precision has indeed acquired Wistron's key iPhone plant in the city of Kushan along with an subsidiary for US$471.5 million (or 3.3 billion yuan) .  

A source with direct knowledge of the deal told the Nikkei that "The decision [to sell the facility] is with Apple's consent and it's part of Apple's plan. Luxshare will start to do iPhone assembly in China, while Wistron will focus on iPhone manufacturing in India."

Apple reportedly asked Wistron to share some of its know-how regarding iPhone production with Luxshare.

Luxshare, founded by former Foxconn production line worker Grace Wang in 2004, is a fast-rising Chinese tech manufacturer. Although it has not yet entered the iPhone assembly business, it has already become the most formidable rival to Foxconn, the world's largest contract electronics maker and Apple's biggest supplier.

More recently, the Chinese company, based in Dongguan City, has been quick to respond to Apple's call to diversify AirPods production to Vietnam, something that we reported on back in May. For more on this, read the full report by the Nikkei Asian Review.