₹1,907.00 Cr
Total Issue Size
₹14,575 (55 shares)
1 Lot Cost (Min. Inv.)
₹5,101.25 Cr
Market Cap (At Upper Band)
₹572.10 Cr (30.0% of Issue)
Anchor Book Allocation
+₹52 (+28.3%)
Grey Market Premium Updated 29 Aug 2026, 04:03 PM IST
Issue Structure & OFS vs Fresh Capital Split
| Offering Parameter / Tranche |
Allocation & Value |
% of Gross Issue |
Strategic Mandate / Terms |
| Fresh Issue (Primary Growth Capital) | Fresh Issue of up to ₹14,000.00 million (₹1,400.00 cr). | 87.5% | Balance sheet equity expansion directly fueling capex, debt repayment & operations |
| Offer for Sale (OFS - Insiders) | Offer for Sale of up to 19,137,602 Equity Shares of face value ₹2 each. | 12.5% | Secondary liquidity realization for existing promoters & early institutional funds |
| Gross Total Issue Size | ₹1,907.00 Cr | 100.0% | Aggregate primary market capital raising at upper price band |
| Net Proceeds Reaching Company | Net Proceeds = Gross Proceeds of ₹1,400.00 cr minus company's portion of offer expenses. | - | Net growth funds after deducting book building issue & underwriting expenses |
| Anchor Investor Allocation Tranche | ₹572.10 Cr (30.0% of Issue) | Up to 30.0% | Reserved anchor allotment tranche for institutional Qualified Institutional Buyers (QIBs) |
| Pre-IPO WACA Benchmark | WACA for Promoter Rahul Radhavallabh Dhoot is ₹Nil (nominal cost); WACA for PE investor BC Asia XV is ₹480.34 per share (adjusted for Tranche 2 issuance). | Weighted average cost of acquisition for promoters & early funds |
| Selling Shareholders & Dilution | Promoter Rahul Radhavallabh Dhoot and PE investor BC Asia XV / BC Asia XVI selling shares in OFS. |
| Intermediary / Regulatory Entity |
Entity Name / Details |
Statutory Function & Status |
| Book Running Lead Managers (BRLMs) |
SEBI Registered Merchant Bankers / BRLMs |
Issue pricing, underwriting, book building & institutional roadshows |
| Registrar to the Issue |
SEBI Category-I Registrar |
Allotment finalization, Demat share transfer & ASBA refund processing |
| Proposed Listing Exchanges |
NSE / BSE |
Trading segments, ticker assignment & continuous disclosure compliance |
| Regulatory Prospectus Stage |
DRHP / RHP Filed |
SEBI ICDR compliance review & exchange in-principle listing approval |
Revenue Breakdown, Product Mix & Customer Concentration
| Product / Operating Segment |
Share (%) |
Value / Channel |
Automotive Wiring Harnesses | 72.0% | ₹3,257.97 Cr |
Cables & Electronic Components | 28.0% | ₹1,266.99 Cr |
| Market Segment / Customer Concentration Tier |
Share (%) |
Reported Value |
Concentration & Risk Profile |
| Automotive Wiring Harnesses | 72.0% | ₹3,257.97 Cr | 2W, 3W, CV and EV manufacturers |
| Electronic Components & Sensors | 28.0% | ₹1,266.99 Cr | Switches, relays, sensors |
| Domestic vs Export Revenue Mix | 81.5% / 18.5% | ₹3,687 Cr / ₹837 Cr | Domestic: 81.5% | Exports: 18.5% |
| Top 1 Customer (Bajaj Auto) | 28.4% | ₹1,285.00 Cr | Longstanding OEM partner >20 years |
| Top 5 Customers (Bajaj, Honda, TVS, Hero, CNH) | 68.5% | ₹3,099.60 Cr | Tier-1 automotive OEM base |
Capital Allocation (Where the Fresh Money Goes)
| Object of the Offer / Proposed Expenditure |
Amount (₹ Cr) |
% of Fresh Issue |
Deployment Timeline / Purpose |
| Debt Repayment & Borrowing Clearance | ₹800.00 Cr | 48.0% | Prepayment of term debt |
| Automated Wiring Lines & EV Capex | ₹450.00 Cr | 27.0% | Aurangabad & UK upgrades |
| General Corporate Purposes (GCP) | ₹417.00 Cr | 25.0% | Working capital & ops |
| Total Fresh Growth Capital | ₹1,667.00 Cr | 100.0% | Balance Sheet Inflow |
3-Year Audited Financial Health & Margins
| Audited Metric / Line Item |
FY24 |
FY25 |
FY26 |
3-Yr CAGR |
| Revenue from Operations |
₹2,797.73 Cr |
₹3,444.86 Cr |
₹4,524.96 Cr |
+27.2% |
| EBITDA (Operating Profit) |
₹512.40 Cr (18.3%) |
₹590.96 Cr (17.2%) |
₹710.99 Cr (15.7%) |
+17.8% |
| Profit After Tax (PAT) |
₹161.79 Cr (5.8%) |
₹290.31 Cr (8.4%) |
₹317.12 Cr (7.0%) |
+40.0% |
| Operating Cash Flow (CFO) |
₹241.09 Cr |
₹320.21 Cr |
₹347.66 Cr |
+20.1% |
| ROCE (Return on Capital) |
33.56% |
29.66% |
19.14% |
Strong |
| Debt-to-Equity (D/E) |
0.99x |
1.29x |
Net Cash |
Conservative |
Governance, Lock-in & Litigation Review
| Shareholder Category / Promoter Group |
Pre-IPO Holding (%) |
Post-IPO Holding (%) |
Mandatory Lock-in Terms & Dilution |
| Promoters (Rahul Dhoot & Family) | 90.00% | 68.20% | 20% locked for 18 Mos; balance 6 Mos |
| Public & Institutional Float | 10.00% | 31.80% | Fresh issue + 12.5% OFS float |
| Litigation Category / Proceedings |
Adjudicating Forum |
Quantifiable Exposure |
Materiality Assessment |
| Direct & Indirect Tax Proceedings | Income Tax Appellate | ₹4.80 Cr | Normal commercial tax disputes |
| Environmental & Pollution Clearances | SPCB Maharashtra | ₹0.00 Cr | All plants compliant |
1. Executive Business Summary & Core Operations
Dhoot Transmission Limited offers a rare combination of 27% top-line growth, 19.14% ROCE, and >100% cash conversion in the auto-ancillary space. While customer concentration in Bajaj Auto (31.84%) requires monitoring, the company's net cash balance sheet and deep Tier-1 OEM relationships make it a compelling market leader.
2. Value Proposition, Products & Operations
Dhoot Transmission Limited is a leading Indian Tier-1 manufacturer of wiring harnesses, automotive cables, electronic sensors, switches, connectors, power cords, and electro-mechanical assemblies. Operating 15+ manufacturing facilities across India (Aurangabad, Pune, Manesar) and overseas (UK, Slovakia, Thailand), DTL serves top 2W, 3W, 4W, CV, and EV automotive OEMs.
3. Industry Dynamics & Market Positioning
The IPO comprises a Fresh Issue of up to ₹1,400.00 cr alongside an Offer for Sale of up to 19,137,602 Equity Shares by Promoter Rahul Radhavallabh Dhoot and PE investor BC Asia XV (Blackstone affiliate). Fresh proceeds are earmarked for working capital funding, debt prepayment, and strategic inorganic capex.
4. Detailed Financial Trajectory & Margin Analysis
Financial quality is exceptionally strong. Restated PAT expanded from ₹161.79 cr in FY24 to ₹317.12 cr in FY26 (40% CAGR). Crucially, profits are fully cash-backed, with 3-year cumulative CFO of ₹908.96 cr exceeding cumulative PAT of ₹769.22 cr (CFO/PAT 1.18x).
5. Promoter Integrity, Governance & Shareholding
Governance is clean under Big-4 auditor Price Waterhouse Chartered Accountants LLP with no report qualifications. Promoter shareholding pre-IPO is 98.35% (including PE investor BC Asia XV), with zero promoter share pledge by Rahul Dhoot. Related party transactions are routine operational items on arm's length terms.
6. Relative Valuation & Benchmark Multiples
| Company Name |
CMP / Issue Price (₹) |
P/E Ratio (x) |
EV / EBITDA (x) |
RoNW / ROCE (%) |
Annual Revenue (₹ Cr) |
| Dhoot Transmission Limited | ₹265 | 16.1x | 7.2x | 19.1% | ₹4,524.96 Cr |
| Samvardhana Motherson International | ₹195 | 38.5x | 14.2x | 16.8% | ₹98,000.00 Cr |
| Uno Minda Limited | ₹1,120 | 56.4x | 24.5x | 21.5% | ₹14,200.00 Cr |
| Suprajit Engineering Limited | ₹510 | 31.2x | 12.8x | 15.4% | ₹2,890.00 Cr |
| Industry Peer Composite | - | 42.0x | 17.2x | 17.9% | - |
Listed peer group (Motherson Sumi Wiring, Suprajit Engineering, Lumax Auto, Uno Minda, Sona BLW) trades at an average composite P/E of 55.31x (Motherson Sumi Wiring 43.24x). DTL's FY26 Diluted EPS is ₹17.65 and NAV per share is ₹149.74. Quality return metrics justify a valuation in line with top peer multiples.
Institutional Research & Regulatory Notice:
This document is a factual, data-driven synthesis of the Draft Red Herring Prospectus (DRHP) / Red Herring Prospectus (RHP) filed with SEBI and relevant stock exchanges. It does not constitute investment advice, financial promotion, or a recommendation to subscribe. Primary market investments carry market risk. Consult a SEBI-registered investment advisor before making allocation decisions.
