INDIA: Bain Capital-backed auto components manufacturer Dhoot Transmission saw its $321 million (₹30.67 billion) initial public offering (IPO) become fully subscribed on the second day of bidding, reflecting strong investor confidence in the company’s growth prospects and India’s expanding electric vehicle (EV) market.
Exchange data showed that investors bid for 24.97 million shares, marginally exceeding the 24.96 million shares on offer. Demand was led by non-institutional investors, whose quota was subscribed 2.03 times, while the retail investor portion was subscribed 1.07 times. The institutional investor segment remained at 6% subscribed during the session.
Ahead of the public offering, the Maharashtra-based company raised ₹9.18 billion from 72 anchor investors, including global investment firms BlackRock and the Abu Dhabi Investment Authority, providing additional confidence ahead of the IPO’s closure on August 12.
EV Expansion Strategy Strengthens Growth Outlook
Dhoot Transmission expects India’s accelerating transition to electric vehicles to become its primary growth driver, as EVs require significantly more wiring harness content than conventional internal combustion engine vehicles. The company is also expanding beyond its core wiring harness business by increasing production of battery assemblies, on-board chargers, DC-DC converters, and charging equipment to diversify its revenue base.
The company’s non-harness product portfolio now contributes 23% of total revenue, compared with around 18% in fiscal 2024, highlighting its strategic shift toward higher-value EV components. Dhoot reported ₹45.3 billion in revenue for fiscal 2026 and expects operating margins to remain stable at 15–16%.
The IPO consists of a fresh issue worth ₹14 billion and an offer for sale of up to 19.14 million shares by Bain Capital’s BC Asia Investments XV and Mangalam Capital. Shares are being offered in a price band of ₹829 to ₹871 and are expected to begin trading on August 17, making the offering one of India’s closely watched listings in the automotive manufacturing sector.