| Price | Lot Size | Issue Date | Issue Size |
|---|---|---|---|
| ₹829 to ₹871 | 17 | 10th Aug, 2026 – 12th Aug, 2026 | ₹3067 Cr |
Dhoot Transmission Limited
Dhoot Transmission Limited (DTL) is one of India’s leading electrical and electronics (E&E) companies, engaged in the design, engineering, manufacturing and supply of wiring harnesses and electrical distribution systems for both internal combustion engine (ICE) vehicles and electric vehicles (EVs). Its diversified product portfolio includes battery packs, switches, sensors, controllers, connectors, junction boxes, high-voltage interconnection systems and data cables, catering to the stringent performance, safety, and reliability requirements of OEMs across automotive and non-automotive applications. The company ranks among the top two players in the Indian two-wheeler (2W) and three-wheeler (3W) wiring harness market, with a 41% market share by value in FY26. It is also the market leader in electric 2W and 3W wiring harnesses, with a market share of nearly 70%. Beyond its leadership in 2W and 3W, the company has diversified its presence across commercial vehicles (CVs), off-highway vehicles (OHW), and farming and industrial equipment, while continuing to expand its product portfolio through the development of new sensor technologies. Wiring harnesses remain its largest revenue contributor, accounting for over 77% of revenue from operations in FY26. The company operates 23 manufacturing facilities, supported by engineering and design centres and warehouses across India and overseas, while two additional manufacturing plants are under construction. The company has also established backward integration across critical components, including terminals, connectors, cables, and moulded parts.
Objective of Dhoot Transmission Limited
The IPO consists of an offer for sale of Rs. 1,667 crores and a fresh issue of Rs. 1,400 crores.
The company proposes to utilize the proceeds from the issue towards the following objects:
- Repayment/prepayment, in full or in part, of all or certain outstanding borrowings availed by the company;
- Investment in subsidiaries, namely, Dhoot Auto components Private Limited, Dhoot Automotive Systems Private Limited, and Dhoot Transmission UK Limited, for repayment/prepayment, in full or part, of all or certain of the outstanding borrowings availed by subsidiaries;
- Setting up a new wiring harness manufacturing plant at (i) Sector 11, Jhajjar, Haryana, India, and (ii) Shoolagiri, Hosur, Tamil Nadu, India; and
- Funding inorganic growth through acquisitions and general corporate purposes.
Rationale To Dhoot Transmission Limited
Investment Rationale
Leadership in 2W/3W wiring harnesses positions the company to capitalize on industry tailwinds
DTL is among the largest wiring harness manufacturers in India’s 2W and 3W segments, with a market share of 37.6% in 2W and over 70% in 3W, supported by a diversified product portfolio and deep integration with leading OEMs. Its strong product development capabilities, demonstrated through the rapid commercialization of USB Type-C charging modules, reinforce long-standing customer relationships, and create opportunities for repeat business. Going forward, the company is well positioned to benefit from several structural industry tailwinds. India remains the world’s largest 2W market and the second-largest 3W market, while EV penetration in these segments is expected to increase significantly over the next five years. At the same time, rising premiumization, stricter emission regulations and increasing adoption of advanced electronic and safety features are driving higher wiring harness content and complexity per vehicle. With nearly one-fourth of its revenue already derived from EV applications and over half of its 2W revenue coming from premium and EV segments, the company is well placed to capitalize on these trends, supporting sustained revenue growth, higher value addition and improved profitability over the medium to long term.
Strong customer relationships and capacity expansion provide long-term growth visibility
Dhoot Transmission has developed long-standing relationships with leading automotive OEMs, supported by its strong execution capabilities, engineering expertise and consistent product quality. Its customer base comprises some of the largest players in the domestic 2W and 3W industry, with an average relationship of 13 years among its top five customers. Deep integration into customers’ product development processes, coupled with continuous value engineering and localization initiatives, has enabled the company to increase wallet share across existing platforms while creating high switching costs. Its ability to develop customized solutions and improve product performance and cost efficiency further enhances its position as a strategic supplier rather than a component vendor. The company is also strengthening its manufacturing footprint to support future growth opportunities. It continues to expand capacity in line with customer requirements by establishing new facilities in key automotive clusters and increasing production capabilities across existing plants. Its strategy of locating facilities closer to customer manufacturing units enables faster deliveries, lower logistics costs and greater operational flexibility. Backed by investments linked to confirmed customer demand, standardized manufacturing processes and increasing automation, the company is well positioned to support new model launches, technology transitions and rising production volumes while maintaining operational efficiencies.
Valuation of Dhoot Transmission Limited
Dhoot Transmission Limited is one of the leading manufacturers of automotive electrical distribution systems in India, with a dominant presence in the 2W and 3W wiring harness segments. The company has established long-standing relationships with leading OEMs, supported by strong engineering capabilities, an extensive product portfolio and deep integration into customers’ product development cycles. It is well positioned to benefit from structural industry tailwinds, including rising electrification, premiumization, increasing electronic content per vehicle and tightening emission and safety regulations, which are expected to drive higher wiring harness content per vehicle. Further, the company’s continued investments in capacity expansion, R&D, product innovation, strategic acquisitions and technology partnerships are expected to strengthen its competitive positioning, enhance its product offerings, and expand its presence across domestic and international markets. Financially, Dhoot Transmission has delivered a healthy performance, with revenue from operations, EBITDA and PAT registering a CAGR of 27.2%, 17.8% and 15.3%, respectively, during FY24-FY26. At the upper price band of Rs. 871, the issue is valued at a P/E multiple of 35.7x based on FY26 diluted EPS of Rs. 24.4. Considering the company’s market leadership, established customer relationships, strong growth prospects, healthy financial performance, and favourable long-term industry outlook, we believe the valuation is fair. Accordingly, we assign a ‘SUBSCRIBE’ rating to the issue.
What is the Dhoot Transmission Limited IPO?
The initial public offer (IPO) of Dhoot Transmission Limited an early investment opportunity in. A stock market investor can buy Dhoot Transmission Limited IPO shares by applying in IPO before All Dhoot Transmission Limited shares get listed at the stock exchanges. An investor could invest in Dhoot Transmission Limited for short term listing gain or a long term.
How to apply for the Dhoot Transmission Limited IPO through StoxBox?
To apply for the Dhoot Transmission Limited IPO through StoxBox one can apply from the website and also from the app. Click here
When will the Dhoot Transmission Limited IPO open?
Dhoot Transmission Limited IPO is opening on 10th Aug 2026. Apply Now
What is the lot size of the Dhoot Transmission Limited IPO?
The Lot Size of Dhoot Transmission Limited 17 equity shares. Login to your account now.
When is the Dhoot Transmission Limited IPO allotment date?
The allotment Date for Dhoot Transmission Limited IPO is 13th Aug 2026. Login to your account now.
When is the Dhoot Transmission Limited IPO listing date?
The listing Date for Dhoot Transmission Limited is 17th Aug 2026. Login to your account now
What is the minimum investment required for the Dhoot Transmission Limited IPO?
In the Retail segment the minimum investment required is Rs 14,807 Login to your account now
What is the maximum investment allowed for Dhoot Transmission Limited IPO?
In the Retail segment the maximum investment requirement Rs 1,92,491 Login to your account now
What are the risks associated with investing in the Dhoot Transmission Limited IPO?
- The company has a significant customer concentration, with its top ten customers contributing 80.93%, 81.81% and 77.90% of revenue from operations in FY26, FY25 and FY24, respectively. Consequently, any disruption in relationships with these key customers or the loss of significant business from them could adversely impact the company’s business operations, financial performance, cash flows and overall financial condition.
- The company does not have firm, long-term volume commitments from its OEM customers. Consequently, any termination, modification or reduction in customer orders or procurement requirements could adversely affect its business operations, financial performance, cash flows and overall financial condition.
- Potential conflicts of interest may arise between the company and other affiliates of Bain Capital during the course of its business operations. Additionally, the company has not entered into non-compete or non-solicitation agreements with its Promoters or Directors, except for its Promoter, Rahul Radhavallabh Dhoot. Any competing business activities undertaken by these individuals could adversely impact the company’s business and financial performance.
When will the Dhoot Transmission Limited IPO shares be credited to my Demat account?
The Dhoot Transmission Limited will be credited to the account on allotment date which is 13th Aug 2026. Login to your account now
Where can I find the Dhoot Transmission Limited IPO prospectus?
The prospectus of Dhoot Transmission Limited IPO prospectus can be found on the website of SEBI, NSE and BSE
