Dixon Technologies and HKC Corporation Forge Prospective Joint Venture

On June 6, 2024, Dixon Technologies (India) Limited (Dixon) informed the stock exchanges that it had entered into a Term Sheet with HKC Corporation Limited (HKC) for a prospective Joint Venture arrangement. The collaboration aims to manufacture Liquid Crystal Modules (LCM) and thin film transistor liquid crystal display modules (TFT-LCD Modules), along with assembling end products such as smartphones, TVs, monitors, and automotive displays. Additionally, the venture includes the sale of HKC-branded end products in India. The company added that it is subject to the receipt of necessary statutory approvals and the signing of definitive agreements.

The company stated that HKC Corporation Ltd specialises in semiconductor display technology. Its primary focus involves the development and manufacturing of semiconductor display panels and other essential display devices, along with intelligent display terminals. Within the realm of intelligent display terminals, HKC primarily manufactures smart TVs, other TV terminals, all-in-one machines, laptops, tablets, advertising machines, smart fitness goggles, and various IT and smart IoT terminals.

Regarding the partnership, Mr Atul B. Lall, the Vice Chairman and Managing Director of Dixon Technologies (India) Limited, emphasised that the Dixon Group is consistently pursuing strategic initiatives to establish itself as a leading player in the electronic sector. He highlighted the company’s commitment to providing manufacturing solutions while aiming to become a trusted source in the technology and R&D domains.

He further stated, “I am delighted to announce that Dixon has signed a Term Sheet with HKC Corporation Limited for the manufacturing of Liquid Crystal Modules, TFT-LCD Modules and Displays etc. This venture will give a boost to set up the electronic component ecosystem & also deepen the value addition.”

About Dixon Technologies (India) Limited

Dixon Technologies (India) Limited is one of the prominent domestically owned design-centric companies in India. It specialises in manufacturing across consumer durables, lighting, and mobile phone sectors. Its extensive product range encompasses washing machines, LED TVs, tube lights, LED bulbs, mobile phones, downlighters, wearables, refrigerators and CCTV and DVRs. Additionally, Dixon offers comprehensive solutions in reverse logistics, including repair and refurbishment services for LED TV panels.

On June 7, 2024, the share price of Dixon Technologies (India) Ltd opened at ₹9,949.95, touching the day’s high at ₹10,088.10, as of 10:12 AM on the NSE.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.