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Precision Meets Power: Dixon’s 51% Stake in Q Tech India Could Reshape Mobile Manufacturing

Updated: July 15, 2025 16:42

Image Source : Screen Print India Magazine
Dixon Technologies (India) Ltd has entered into a binding term sheet for the acquisition of 51% equity in Kunshan Q Tech Microelectronics (India), a strategic acquisition to further boost its backward integration capabilities and enhance its presence in highvalue smartphone components.
 
Key Highlights:
  • The proposed acquisition would give Dixon a majority holding in Q Tech India, a subsidiary of global optical solutions market leader Kunshan Q Tech, which is globally acclaimed for camera modules and imaging technologies knowhow.
  • The deal is to offer Dixon access to highprecision component production, including camera modules, mechanicals, and battery packs—vital to nextgeneration smartphones and wearables.
  • The acquisition is consistent with Dixon's overall strategy of localizing manufacturing, reducing import dependence, and leveraging the Government of India's forthcoming Component PLI scheme.
Strategic Significance
  • Q Tech India's cuttingedge R&D and manufacturing facilities will complement Dixon's existing EMS business segments to offer endtoend solutions to global smartphone brands.
  • The expansion is enabling Dixon's goal of being a completestack OEM partner, offering design, assembly, and now component manufacturing inhouse.
  • Dixon has already recruited a top leadership team to lead integration and scaleup of component activities, which is a sign of intent to act aggressively.
Market Outlook:
  • With Indian smartphone exports gaining steam and global brands seeking local partners, Dixon's acquisition of Q Tech India positions it as a leading player in the innovative China+1 supply chain model.
  • The analysts opine that the deal will release new avenues for revenue generation and margin growth from FY26 and beyond.
Sources: Economic Times, CNBC TV18, Dixon Technologies Investor Relations, Business Standard

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