Dixon Technologies Receives Government Approval for Joint Venture with HKC Overseas in Display Manufacturing

Dixon Technologies (India) Limited has received approval from the Government of India to proceed with a strategic investment involving HKC Overseas Limited, an affiliate of HKC Corporation. 

The approval allows the proposed equity participation in Dixon Display Technologies Private Limited, the company’s subsidiary. Once completed, the transaction will convert the subsidiary into a joint venture focused on developing and manufacturing display modules for the Indian market.

Share Subscription and Shareholders’ Agreement

Dixon Technologies had earlier signed a Share Subscription and Shareholders’ Agreement (SSHA) on August 16, 2025 with HKC Overseas Limited and Dixon Display Technologies Private Limited (DDTPL). 

The agreement outlines the proposed equity investment and the framework governing the relationship between the partners.

Under the arrangement, HKC Overseas will subscribe to equity shares representing 26% of the fully diluted paid-up share capital of DDTPL. Dixon Technologies will retain the remaining 74% stake in the entity.

Government Approval Under Press Note 3

The proposed investment required regulatory approval under Press Note 3 of 2020 issued by the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry. This policy governs certain foreign investments that require additional scrutiny and approval.

Dixon Technologies has now received the necessary clearance from the Ministry of Electronics and Information Technology (MeitY). The approval was granted under Press Note 3 read with the Foreign Exchange Management (Non-Debt Instruments) Rules, 2019.

Transformation of Subsidiary into Joint Venture

Following the regulatory clearance and completion of other conditions outlined in the agreement, Dixon Display Technologies Private Limited will transition from a wholly owned subsidiary into a joint venture entity.

After the transaction is finalised, Dixon Technologies will hold 74% ownership while HKC Overseas will hold the remaining 26% stake. The arrangement will formalise the operational partnership between the two companies.

Focus on Display Module Manufacturing

The joint venture will focus on the development, manufacturing and distribution of liquid crystal display components. These include liquid crystal modules and thin film transistor liquid crystal display (TFT-LCD) modules.

The products manufactured by the entity will be supplied within the Indian market, supporting the domestic electronics manufacturing ecosystem.

Dixon Share Price Performance

Shares of Dixon Technologies saw positive movement following the development. As of March 10, 2026, the stock traded at ₹10,353, reflecting a gain of ₹549 or around 5.6% compared with the previous closing price of ₹9,804.

During the trading session, the stock opened at ₹10,399 and touched a high of ₹10,530, while the day’s low stood at ₹10,171.

Read More: Government Holds Petrol and Diesel Prices Steady Despite Crude Oil Crossing $100 per Barrel.

Conclusion

The approval granted by the Ministry of Electronics and Information Technology marks a regulatory step forward for Dixon Technologies’ planned partnership with HKC Overseas.

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