Dixon Technologies Acquires 51% Stake in Kunshan Q Tech Microelectronics for INR 5,530 Crore
Dixon Technologies has completed the acquisition of a 51% stake in Kunshan Q Tech Microelectronics (India) Private Limited for INR 5,529.99 crore. The transaction involved purchasing 16,150,943 shares for INR 4,279.99 crore and subscribing to 4,716,981 new shares for INR 1,249.99 crore. A shareholders agreement was executed, granting both Dixon and Q Technology (Singapore) board nomination rights based on shareholding thresholds. The deal closed on September 26, with Dixon informing stock exchanges in compliance with SEBI regulations.

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Dixon Technologies , a leading electronic manufacturing services company, has successfully completed the acquisition of a majority stake in Kunshan Q Tech Microelectronics (India) Private Limited. The transaction, valued at INR 5,529.99 crore, marks a significant move in the Indian electronics manufacturing sector.
Transaction Details
The acquisition was executed through a combination of share purchase and subscription:
- Share Purchase: Dixon acquired 16,150,943 equity shares for INR 4,279.99 crore
- Share Subscription: The company subscribed to 4,716,981 new equity shares for INR 1,249.99 crore
In total, Dixon Technologies now owns 20,867,924 equity shares of INR 10 each in Kunshan Q Tech Microelectronics, representing a 51% ownership stake. Q Technology (Singapore) Private Limited retains the remaining 49% shareholding.
Shareholder Agreement
As part of the deal, the parties have executed a shareholders agreement to govern the management and inter-shareholder rights of the company. Key points of the agreement include:
- Both Dixon Technologies and Q Technology (Singapore) have the right to nominate two directors each to the board, provided they maintain at least a 28% shareholding
- If either party's shareholding falls below 28% but remains above 14%, they retain the right to nominate one director
- The agreement includes customary information rights and provisions for reserved matters requiring shareholder approval
Closing and Regulatory Compliance
The closing formalities for this transaction were completed on September 26. Dixon Technologies has duly informed the stock exchanges about this development, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
Market Implications
This strategic acquisition positions Dixon Technologies to strengthen its presence in the microelectronics segment, potentially enhancing its capabilities in the rapidly growing Indian electronics manufacturing industry. The move aligns with the government's push for increased domestic manufacturing under initiatives like 'Make in India' and 'Atmanirbhar Bharat'.
As the electronics manufacturing landscape in India continues to evolve, this acquisition may have significant implications for the sector's competitiveness and growth prospects. Investors and industry observers will be keenly watching how Dixon Technologies leverages this new partnership to drive innovation and expand its market presence.
Historical Stock Returns for Dixon Technologies
1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
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-3.80% | -3.66% | +5.06% | +32.05% | +24.19% | +871.88% |