However, grey market premiums are only an indicative measure of investor sentiment in the unlisted market and can change rapidly. They should not be taken as a reliable indicator of the actual listing price.
The initial public offering (IPO) of Bain Capital-backed automotive wiring harness manufacturer Dhoot Transmission was open for subscription from August 10 to August 12.
The issue was subscribed 74.21 times by the close of bidding. It received bids for 185.20 crore equity shares against 2.50 crore shares on offer.
Qualified institutional buyers (QIBs) led the demand, with their portion subscribed 212.92 times. The non-institutional investor (NII) category was subscribed 51.93 times, while the retail portion was subscribed 8.12 times.
Dhoot Transmission IPO: Anchor investors
Dhoot Transmission had allotted 1.05 crore equity shares to 72 anchor investors and raised ₹918.27 crore through the anchor book.
The anchor book saw participation from marquee domestic and global investors, including SBI Mutual Fund, ICICI Prudential Mutual Fund, HDFC Mutual Fund, BlackRock, WhiteOak, Abu Dhabi Investment Authority, Axis Mutual Fund, Mirae Asset, Nippon India Mutual Fund, Pictet, Amundi Funds, Allianz Global Investors, Franklin Templeton, Tata Mutual Fund, Invesco and UTI Mutual Fund, among others.
Dhoot Transmission IPO details
Dhoot Transmission had fixed the IPO price band at ₹829-871 per equity share. At the upper end of the price band, the issue was valued at ₹3,066.89 crore.
The IPO comprised a fresh issue of equity shares worth ₹1,400 crore and an offer for sale (OFS) of around 1.9 crore shares by existing shareholders, including Bain Capital.
The company plans to use the proceeds from the fresh issue primarily to repay or prepay certain borrowings. A portion of the funds will also be invested in subsidiaries to help reduce their debt.
Dhoot Transmission has also earmarked funds to establish new wiring harness manufacturing facilities at Jhajjar in Haryana and Shoolagiri in Hosur, Tamil Nadu. The remaining funds will be used for potential acquisitions and other strategic initiatives.
Bain Capital currently holds around 55% in the company, with the remaining stake held by the Dhoot family.
The private equity investor, which recently invested around ₹2,000 crore in Dhoot Transmission, is expected to remain a long-term investor. Management has indicated that Bain’s exit is likely to take place over the next five to seven years rather than through a near-term sell-down.
About Dhoot Transmission
Founded in 1999, Dhoot Transmission manufactures wiring harnesses, electronic sensors, automotive switches, cords, cables and EV components for two-wheelers, three-wheelers, passenger vehicles, commercial vehicles, off-highway vehicles and farm equipment across internal combustion engine (ICE) and electric vehicle (EV) segments.
The company operates manufacturing facilities across India, the UK, Slovakia, Thailand, Japan and South Korea.
For FY26, Dhoot Transmission reported a 12.1% year-on-year increase in net profit to ₹396.8 crore, while revenue rose 31.4% to ₹4,525 crore.
