Bain Capital-backed Dhoot Transmission Limited has filed its Updated Draft Red Herring Prospectus - 1 (UDRHP - 1) with SEBI for its initial public offering. The electrical & electronics company's proposed public offer will comprise a fresh issue of equity shares of face value ₹2 each, aggregating up to ₹1,400 crore, along with an offer for sale (OFS) of up to 1.63 equity shares. According to reports from Mint, the OFS includes equity shares being sold by promoter and promoter group selling shareholders, with US-based Bain Capital, through its affiliate BC Asia Investments XV Limited, offering up to 1,31,91,900 equity shares and Mangalam Capital Private Limited offering 31,18,833 equity shares. The net proceeds from the fresh issue worth ₹494 crore will be utilised to repay debt, while ₹272.59 crore will be invested in subsidiaries including Dhoot Autocomponents, Dhoot Electricals Systems, Dhoot Automotive Systems and Dhoot Transmission UK Ltd for repayment of their borrowings. The remaining funds will be used for ₹150 crore for setting up new wiring harness manufacturing plants at Jhajjar in Haryana and Shoolagiri in Hosur, Tamil Nadu, and funding inorganic growth through acquisitions and general corporate purposes.
The company plans to utilize the IPO proceeds for strategic expansion, allocating ₹150 crore for setting up new wiring harness manufacturing plants at Jhajjar in Haryana and Shoolagiri in Hosur, Tamil Nadu. As reported by Mint, the remaining funds will be used for unidentified acquisitions and general corporate purposes, with the net proceeds proposed to be deployed over FY27 and FY28. The company currently operates 22 manufacturing facilities across India and key international locations, with four under construction plants in India.
Dhoot Transmission holds a dominant position in India's wiring harness market, being among the top two players in India's two-wheeler and three-wheeler wiring harness market with a 44.64% market share by value in FY25. According to the UDRHP, the company is also a market leader in the electric two-wheeler and three-wheeler wiring harness segment, commanding over 70% market share in FY25. The company serves both automotive and non-automotive applications, with marquee clients including Bajaj Auto, TVS Motor Company, Honda Motorcycle and Scooter India Private, and Royal Enfield. The Pune-based company primarily operates in the electrical and electronics segment, reflecting its strong positioning in both traditional and electric mobility platforms.
The company has demonstrated strong financial performance with revenue from operations rising 62% from ₹2,125.86 crore in FY23 to ₹3,444.86 crore in FY25. As reported by Mint, PAT more than doubled from ₹163.91 crore to ₹353.89 crore during the same period, while EBITDA strengthened from ₹298.68 crore in FY23 to ₹590.96 crore in FY25. The EBITDA margin improved from 14.05% to 17.15%, and PAT margin expanded from 7.69% to 10.19% for the same period. Wiring harnesses remain the core revenue driver, contributing ₹2,687 crore, or 78% of FY25 revenue.
BC Asia XV acquired a 49% stake in the company in April 2025, marking a significant milestone in the company's growth trajectory. According to Mint, the company designs, engineers, manufactures and supplies critical wiring harnesses that integrate electronic sensors and controllers, switches, terminals, connectors, junction boxes, high-voltage interconnection systems and data cables. The company's shares are proposed to be listed on the National Stock Exchange of India Ltd and BSE Ltd, with Axis Capital Ltd, Jefferies India, Kotak Mahindra Capital Company, Nomura Financial Advisory and Securities (India) Pvt Ltd, SBI Capital Markets and 360 ONE WAM serving as book-running lead managers for the IPO. Kfin Technologies will be the registrar of the issue. The company filed preliminary papers with SEBI through the confidential pre-filing route on February 6, 2025, and received the regulator's observation letter on May 10, 2026, which is considered as approval to float its IPO.
