Dixon forms 51:49 smartphone JV with vivo, gets govt approval

Listed Co AcquisitionMarquee Jv AnnouncedStrategic Transactions View source PDF Explain this filing

DIXON · price

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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reactionminutes from the announcement price · days from the prior close

-0.3%Reaction day

₹13465.00

prior close

₹13875.00

announcement price

After-mkt

timing

Nifty Midcap 150market+1.4%-1.7% vs market

Consumer Electronics peers, median of 12sector+1.8%-2.2% vs sector

On the reaction day the stock moved 1.7 pts less than Nifty Midcap 150 and 2.2 pts less than its Consumer Electronics peers, over the same two closes: a difference in percentage points, not a measure of what the filing did.

Minutes after the announcementfrom the announcement price · no benchmark

Stock

+0.4

10m

+0.5

15m

-0.3

30m

-1.7

Sessions after the filingfrom the prior close

StockMarketvs marketSectorvs sector

Reaction day

-0.3+1.4-1.7+1.8-2.2

Next day

+0.0+1.4-1.3+1.2-1.2

-0.9+0.9-1.7+3.3-4.2

+1.9+1.3+0.6+4.1-2.2

+7.7+0.9+6.8+4.4+3.3

+6.0+0.5+5.5+4.9+1.2

+4.9+1.4+3.5+4.3+0.6

15d

+2.1+1.2+0.9+1.5+0.7

+4.8+2.7+2.1+1.8+3.1

+0.3+0.2+0.0-6.8+7.1

-6.0-5.4-0.6-9.3+3.3

UpDownMarket · Nifty Midcap 150Sector · Consumer Electronics peers, median of 12Pending

Minute windows have no benchmark: there is no intraday index history to compare against.

AI summary

Dixon Technologies has signed a JV agreement with vivo Mobile India to manufacture smartphones and electronic devices in India. Dixon holds 51% and vivo 49%, making the JV a Dixon subsidiary. Initial paid-up capital is INR 5 crore in the same ratio. Government of India approval received under Press Note 3 of 2020. Each party nominates 2 directors. The JV will handle part of vivo smartphone OEM orders and may serve other brands too. Completion targeted within 1 year.

Likely market impact

Positive: marquee JV with vivo strengthens Dixon smartphone manufacturing footprint. JV Co will be a Dixon subsidiary, though initial capital is just INR 5 crore.