Bain Capital-backed Dhoot Transmission Ltd has filed its Updated Draft Red Herring Prospectus (UDRHP-1) with the Securities and Exchange Board of India (Sebi) for an initial public offering (IPO). 

The proposed IPO comprises a fresh issue of equity shares aggregating up to ₹1,400 crore and an offer for sale (OFS) of up to 1.63 crore equity shares with a face value of ₹2 each. 

The OFS includes up to 1.31 crore equity shares being sold by promoter shareholder BC Asia Investments XV Ltd and 31.18 lakh shares by Mangalam Capital Private Ltd, formerly known as Mangalam Colise Private Ltd. 

Net proceeds

The company plans to utilise the net proceeds primarily towards repayment or prepayment of outstanding borrowings. Around ₹493.9 crore will be used to repay debt at the parent level, while ₹272.58 crore will be infused into subsidiaries — including Dhoot Auto Components Private Ltd, Dhoot Electricals Systems Private Ltd, Dhoot Automotive Systems Private Ltd, and Dhoot Transmission UK Ltd — for repayment of their borrowings. 

The company will also invest ₹150 crore to establish new wiring harness manufacturing plants in Jhajjar, Haryana, and Shoolagiri in Hosur, Tamil Nadu. The remaining funds will be used for unidentified acquisitions and general corporate purposes, with deployment planned over FY27 and FY28. 

Founded in 1999, Dhoot Transmission designs, engineers and manufactures wiring harnesses and electrical components used in automobiles. Bain Capital affiliate BC Asia Investments XV acquired a 49% stake in the company in April 2025. 

The company is among the top two players in India’s two-wheeler and three-wheeler wiring harness market, with a 44.64% market share by value in FY25. It also held over 70% market share in the electric two-wheeler and three-wheeler wiring harness segment during the same period. 

Its product portfolio includes integrated wiring harnesses, automotive cables, connectors and terminals, sensors, controllers, switches, and IoT-enabled production monitoring solutions. 

As of December 31, 2025, the company operated 22 manufacturing facilities, three engineering and design centres, and seven warehouses across India and international markets. It is also developing four additional plants in India. 

Dhoot Transmission’s client base includes Bajaj Auto Ltd, TVS Motor Company Ltd, Honda Motorcycle and Scooter India Private Ltd, and Eicher Motors Ltd’s Royal Enfield business. 

Financial report card

The company reported strong financial growth between FY23 and FY25. Revenue from operations rose 62% to ₹3,444.86 crore in FY25 from ₹2,125.86 crore in FY23 while profit after tax more than doubled to ₹353.89 crore from ₹163.91 crore. EBITDA increased to ₹590.96 crore in FY25 from ₹298.68 crore in FY23, with EBITDA margin improving to 17.15% from 14.05%. 

Wiring harnesses remained the company’s largest revenue contributor, accounting for 78% of FY25 revenue. India contributed around 90% of the company’s FY25 revenue while revenue from electric vehicle (EV) segments increased significantly to 25.2% of total revenue in FY25 from 8.05% in FY23. 

The company expects to benefit from rising EV penetration in India’s two-wheeler and three-wheeler markets, where electrification levels are projected to increase sharply over the coming years. 

The book-running lead managers to the issue are Axis Capital Ltd, Jefferies India Private Ltd, Kotak Mahindra Capital Company Ltd, Nomura Financial Advisory and Securities (India) Private Ltd, SBI Capital Markets Ltd, and 360 ONE WAM Ltd.