Daijiworld Media Network – New Delhi
New Delhi, Sep 18: Shares of Dixon Technologies (India) Ltd. were in the spotlight on Wednesday after the electronic manufacturing services (EMS) major announced the acquisition of Delhi-based Kunshan Q Tech Microelectronics (India) Pvt Ltd for Rs 553 crore.
As per an exchange filing, Dixon has signed a share subscription and purchase agreement with the promoters of Kunshan Q Tech to acquire a 51% equity stake on a fully diluted basis. The transaction, first announced in July, will turn Kunshan Q Tech into a joint venture between Dixon Tech and Q Tech Singapore, with the latter holding the remaining 49%.
Kunshan Q Tech manufactures and distributes camera and fingerprint modules for mobile handsets, IoT systems, and automotive applications. The company reported a turnover of Rs 1,977 crore in FY25.
In a statement, Dixon Tech said, “The proposed acquisition will further enhance DTIL’s manufacturing excellence and execution capabilities in mobile handsets, IoT devices, and automotive applications, thereby strengthening the company’s backward integration plans.”
Growing Diversification
Dixon, headquartered in Noida, is among India’s largest EMS players, offering design and manufacturing solutions across home appliances, lighting, mobile phones, set-top boxes, and wearables. The company has been steadily expanding into high-margin verticals such as EVs, defence, drones, medical electronics, and telecom infrastructure.
In July, Dixon also received government approval for a joint venture with China’s Longcheer Intelligence Pte. Ltd., in which it will hold 74% stake. The proposed JV will manufacture and supply smartphones, tablets, true wireless stereo devices, smartwatches, AI PCs, automotive electronics, and healthcare products.
Market Reaction
Ahead of the announcement, Dixon Tech shares closed flat at Rs 18,100.8 apiece on the BSE, even as the benchmark Sensex gained 0.4%. Over the past 12 months, the stock has delivered a strong 29% return, though gains so far in 2025 stand at 0.5%.