Hyderabad-based Tanla Solutions on Friday revealed its plan to form a 50:50 joint venture with Spanish mobile value-added services provider Zed Worldwide to develop and sell mobile content.

The company quoted in a statement that the proposed JV will also provide mobile advertising and related services to telecom operators in India.

The latest move entails an initial investment worth Rs 63 crore in the paid up capital, out of which both partners would contribute Rs 31.5 crore each.

Tanla Solutions Limited, together with its subsidiaries, provides telecommunications software and services. The company recently launched 3G value added services in Delhi in collaboration with state run telecom operator MTNL.

In recently announced results, the company reported a steep drop in standalone net profit for the quarter ended December 2008.

During the quarter, the profit of the company declined 23.10% to Rs 170.01 million from Rs 221.07 million in the same quarter previous year.