LIC sells 2% stake in Dixon Technologies; shareholding drops to 3%

Dixon Technologies India Limited reported a 2% decrease in holding from 5.012% to 3% during the period from April 20, 2022 to December 15, 2023 at an average cost of Rs 5877.65

Life Insurance Corporation (LIC) of India's shareholding in Dixon Technologies India Limited has decreased from 2,997,913 to 1,794,395 equity shares, a drop from 5.012 per cent to 3 per cent of the paid-up capital, the company said in a BSE filing.

Dixon Technologies, the country’s largest home-grown electronics manufacturing services (EMS) player, has a market cap of Rs 37,634.46 crore. The company reported a 2 per cent decrease in holding from 5.012 per cent to 3 per cent during the period from April 20, 2022 to December 15, 2023 at an average cost of Rs 5,877.65. The company's nature of consideration is an open market sale.

Last month, Dixon Technologies committed a cumulative production value of Rs 48,000 crore in six years and was declared eligible under the reworked production-linked incentive (PLI) scheme for IT products. Following this, the company, which applied for the PLI scheme through Padget Electronics, will account for a seventh of the additional production value of Rs 3,50,000 crore which the Centre said has been committed collectively by 27 eligible companies in six years.

Sunil Vachani, managing director of Dixon Technologies, said, “We had applied under the hybrid domestic category."

Dixon Technologies (India) Ltd reported a 47 per cent rise in consolidated net profit to Rs 113.36 crore for the second quarter ended in September 2023. The company's revenue from operations increased 27.83 per cent to Rs 4,943.18 crore, as against Rs 3,866.77 crore in the year-ago period.