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Dhoot Transmission, an automotive components manufacturer, has received approval from the Securities and Exchange Board of India (SEBI) for its proposed initial public offering. The company, which produces wiring harnesses, automotive switches, electronic sensors, and battery packs, serves original equipment manufacturers across two-wheelers, commercial vehicles, and domestic appliances.
Bain Capital holds a 49% stake in the company. Dhoot Transmission reported consolidated revenue of Rs 2,653 crore for the 2024 financial year, up from Rs 1,550 crore in FY22, according to a CRISIL Ratings report. Its clients include Bajaj Auto, TVS Motor Company, Honda Motorcycle and Scooter India, and Royal Enfield.
The IPO follows a wave of capital market activity in India's auto components sector, with recent listings including ASK Automotive and Motherson Sumi Wiring India. Investor interest in manufacturing, localization, and electrification has driven demand for such offerings.
Dhoot Transmission can now proceed with filing its red herring prospectus and setting a timeline for the share sale. The company is expected to announce the IPO size and opening date in the coming weeks.