Dhoot Transmission, an auto component manufacturer backed by Bain Capital, has filed an updated draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (Sebi) to raise ₹1,400 crore through a fresh issue in its initial public offering (IPO), according to livemint.com. The IPO will also include an offer for sale (OFS) of up to 1.63 crore equity shares.
The updated filing submitted on Friday outlines the company's plan to raise funds via the fresh issue, while the OFS will allow existing shareholders to sell a portion of their holdings. Bain Capital remains a key backer in this process, supporting Dhoot Transmission’s move to access public markets. The filing with Sebi is a crucial step in the regulatory approval process for the IPO.
This IPO comes at a time when the auto component sector is attracting significant investor interest amid growing demand for automotive parts and electric vehicle components. Fundraising of ₹1,400 crore positions Dhoot Transmission among notable recent offerings in the sector, reflecting confidence in its growth prospects and Bain Capital’s continued support. The fresh capital is expected to strengthen the company’s financial position and support expansion plans.
Next, Dhoot Transmission will await Sebi’s approval of the updated DRHP before setting the IPO price band and opening the subscription window. Market participants will watch for the final offer details and listing timeline, which will determine the company’s entry into the public equity market and its ability to leverage the raised funds for future growth.