Autobayng News Team
Bain Capital-backed Dhoot Transmission has filed its updated draft red herring prospectus (UDRHP-I) with the Securities and Exchange Board of India (Sebi) for an initial public offering (IPO) comprising a fresh issue of shares worth ₹1,400 crore and an offer for sale (OFS) of up to 1.63 crore equity shares.
The offer for sale includes up to 1.31 crore equity shares by BC Asia Investments XV Limited and 31.18 lakh equity shares by Mangalam Capital Private Limited.
The company plans to utilise the proceeds from the fresh issue towards repayment and prepayment of borrowings, investments in subsidiaries, setting up new manufacturing facilities, acquisitions, and general corporate purposes.
Dhoot Transmission said around ₹493.9 crore will be used to repay the company’s debt, while ₹272.58 crore will be infused into subsidiaries, including Dhoot Auto Components Pvt. Ltd., Dhoot Electrical Systems Pvt. Ltd., Dhoot Automotive Systems Pvt. Ltd., and Dhoot Transmission UK Ltd., for debt repayment.
The company also plans to invest ₹150 crore to establish new wiring harness manufacturing plants at Jhajjar, Haryana, and Shoolagiri, Hosur, Tamil Nadu. The proceeds are expected to be deployed over FY27 and FY28.
Founded in 1999, Dhoot Transmission manufactures wiring harnesses, automotive cables, connectors, terminals, sensors, switches, controllers, and other electrical and electronic components for automotive and industrial applications.
The company is among the leading players in India’s two-wheeler and three-wheeler wiring harness market with a 44.64 per cent market share by value in FY25. It also holds over 70 per cent market share in the electric two-wheeler and three-wheeler wiring harness segment.
According to the company, nearly 95 per cent of its portfolio is either EV-focused or powertrain-neutral, positioning it strongly amid rising electrification in the automotive sector.
Dhoot Transmission’s key customers include Bajaj Auto, TVS Motor Company, Honda Motorcycle and Scooter India, and Royal Enfield.
The company reported revenue from operations of ₹3,444.86 crore in FY25, up 62 per cent from ₹2,125.86 crore in FY23. Profit after tax more than doubled to ₹353.89 crore in FY25 from ₹163.91 crore in FY23, while EBITDA margin improved to 17.15 per cent from 14.05 per cent during the same period.
As of December 31, 2025, the company operates 22 manufacturing facilities, three engineering and design centres, and seven warehouses across India and overseas markets. It also has four plants under construction in India.
Axis Capital, Jefferies India, Kotak Mahindra Capital, Nomura Financial Advisory and Securities (India), SBI Capital Markets, and 360 ONE WAM are the book-running lead managers to the issue.
Join the community of 2M+ industry professionals.
Subscribe to Newsletter to get latest insights & analysis in your inbox.
All about ETAuto industry right on your smartphone!
- Download the ETAuto App and get the Realtime updates and Save your favourite articles.
