Bain Capital-Backed Dhoot Transmission Files Updated DRHP With SEBI For ₹1,400 Crore IPO

Pearl Doshi May 25, 2026 1,700 Views

Dhoot Transmission Ltd, backed by Bain Capital, has filed its updated Draft Red Herring Prospectus (UDRHP) with SEBI for an IPO featuring a ₹1,400 crore fresh issue and an Offer for Sale (OFS) of up to 1.63 crore shares. The proceeds will be used for debt repayment, subsidiary investments, new plants, acquisitions, and general corporate purposes.

Founded in 1999, Dhoot Transmission is one of India’s leading auto component makers, specialising in wiring harnesses, connectors, sensors, and electronic systems. With Bain Capital holding a 49% stake since April 2025, the company is now preparing for its maiden public offering to strengthen its balance sheet and expand manufacturing capacity.

IPO Structure

Fresh issue: Equity shares worth ₹1,400 crore.
Offer for Sale (OFS): Up to 1.63 crore shares.
BC Asia Investments XV Ltd (Bain Capital affiliate): Offloading ~1.32 crore shares.
Mangalam Capital Pvt Ltd: Selling ~31.18 lakh shares.
Shares carry a face value of ₹2 each.

Use Of Proceeds

₹493.9 crore: Repayment/prepayment of company borrowings.
₹272.58 crore: Infused into subsidiaries (Dhoot Autocomponents, Dhoot Electricals Systems, Dhoot Automotive Systems, Dhoot Transmission UK Ltd) for debt repayment.
₹150 crore: Setting up new wiring harness plants in Jhajjar, Haryana and Shoolagiri, Hosur, Tamil Nadu.
Remaining funds: Acquisitions and general corporate purposes.

Market Position

Holds 44.64% share in India’s two-wheeler and three-wheeler wiring harness market (FY25).
Commands 70% share in electric two-wheeler and three-wheeler wiring harnesses.
Key clients: Bajaj Auto, TVS Motor, Honda Motorcycle & Scooter India, Royal Enfield.
FY25 revenue: ₹3,444.86 crore, up 62% from FY23.
FY25 PAT: ₹353.89 crore, more than double FY23’s ₹163.91 crore.
EBITDA margin improved to 17.15% from 14.05% in FY23.

IPO Highlights

•⁠ ⁠₹1,400 crore fresh issue plus 1.63 crore shares OFS

•⁠ ⁠Bain Capital affiliate to offload ~1.32 crore shares

•⁠ ⁠Funds earmarked for debt repayment, subsidiaries, new plants, acquisitions

•⁠ ⁠Strong EV-focused portfolio with 70% market share in electric harnesses

•⁠ ⁠FY25 revenue ₹3,444.86 crore, PAT ₹353.89 crore, EBITDA margin 17.15%

•⁠ ⁠Clients include Bajaj Auto, TVS, Honda, Royal Enfield

Sources: Mint, The Hindu BusinessLine, ET Auto, The Economic Times, Business Today

Stay Ahead – Explore Now! Refining Profits On The Boil: IOC Sees High Margins Lasting 1–2 Years