Dixon Technologies (India) Limited (DTIL), a leading electronics manufacturer, has taken a significant step to strengthen its position in mobile, IoT, and automotive segments. The company announced a ₹552.99 crore (₹5,529,999,860) investment for a 51% stake in Kunshan Q Tech Microelectronics (India) Private Limited.
The acquisition, formalised through a Share Subscription and Purchase Agreement (SSPA) with Q Technology (Singapore) Pvt Ltd and Kunshan Q Technology International Ltd, marks a major milestone in Dixon’s growth journey.
Under the agreement, Dixon will acquire 20,867,924 equity shares of ₹10 each, representing 51% of the target company on a fully diluted basis. The transaction is structured in 2 parts. First, Dixon will purchase 16,150,943 shares from Q Tech Singapore and Q Tech International for a cash consideration of ₹4,279,999,895.
Second, the company will subscribe to 4,716,981 fresh equity shares, amounting to ₹1,249,999,965. Together, the deal is valued at a total of ₹5,529,999,860. Dixon’s investment will be settled entirely in cash, with completion expected within 90 days, subject to statutory and regulatory approvals.
Kunshan Q Tech Microelectronics (India) Private Limited, based in Janakpuri, New Delhi, specialises in the manufacture, sale, and distribution of camera and fingerprint modules used in mobile handsets, IoT devices, and automotive systems.
Its revenue from operations in FY25 stood at ₹1,977.20 crore, down from ₹2,434.99 crore in FY24 and ₹1,899.01 crore in FY23. However, as of March 31, 2025, the firm’s net worth was negative at (₹27,424.40 lakh).
Dixon’s acquisition of a majority stake will strengthen its backward integration strategy while enhancing manufacturing excellence and technology transfer capabilities. Post-transaction, Dixon will hold 51% ownership, while Q Tech Singapore will retain 49%. A Shareholders’ Agreement will also be signed, giving both companies the right to nominate two directors each to the board.
Standard provisions such as warranties, indemnities, dispute resolution, and termination clauses are included in the arrangement. Dixon believes the partnership will unlock new synergies, enabling faster go-to-market solutions and supporting India’s ambition to become a global hub for electronics manufacturing.
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As of September 18, 2025, at 12:01 PM, Dixon Technologies share price is trading at ₹18,246 per share, reflecting a gain of 0.75% from the previous closing price.
The ₹5,530 crore acquisition of Kunshan Q Tech India positions Dixon Technologies to further diversify and expand in high-growth sectors. With stronger integration, advanced manufacturing capabilities, and global collaboration, Dixon is aiming to accelerate its presence in smartphones, IoT, and automotive solutions, while reinforcing its leadership in India’s electronics ecosystem.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: Sep 18, 2025, 12:41 PM IST
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