Shares of Dixon Technologies (India) Ltd. rose more than 5 percent on Wednesday after reports indicated that the Indian government is likely to grant final approval to the company’s proposed joint venture with Chinese smartphone maker Vivo.
The stock climbed to an intraday high of Rs. 12,889.95 and was trading around Rs. 12,781.40, compared with its previous close of Rs. 12,224.80. The company had a market capitalization of Rs. 78,098 crore.
Approval process nearing completion
According to reports, an inter-ministerial panel has already given in-principle approval to the proposed venture.
The final clearance is expected from the Ministry of Electronics and Information Technology (MeitY) after completion of procedural requirements.
The agreement between Dixon and Vivo was originally signed in December 2024.
Structure of the joint venture
Under the proposed arrangement:
- Dixon Technologies will hold a 51 percent stake
- Vivo will own the remaining stake
- The venture will manufacture smartphones and other electronic devices
- Vivo’s manufacturing facility in Noida will be part of the venture
The arrangement is expected to help Vivo reduce regulatory risks while leveraging Dixon’s manufacturing capabilities.
Combined production scale
The partnership brings together two major players in India’s smartphone market.
According to reports:
- Vivo sold around 3.5 crore handsets in 2025
- Dixon produced about 3.2 crore mobile phones during the same period
The Noida facility is expected to handle:
- A portion of Vivo’s OEM smartphone orders
- Manufacturing requirements for other electronics brands
Expansion beyond smartphones
Dixon is also expanding into telecom equipment manufacturing.
Its subsidiary Dixon Electroconnect recently entered into a joint venture with Gemtek Technology.
Under the agreement:
- Dixon will hold a 60 percent stake
- Gemtek Technology will own 40 percent
The venture will manufacture telecom products, including:
- Optical Transceiver-SFP (Small Form-Factor Pluggable)
- BOSA (Bidirectional Optical Subassembly) devices
About the company
Dixon Technologies (India) Ltd. is one of India’s largest electronics manufacturing services (EMS) companies.
Its product portfolio includes:
- Smartphones
- Consumer electronics
- LED televisions
- Home appliances
- Lighting products
- Wearables
- Telecom equipment
- CCTV cameras
The company manufactures products for several domestic and global brands under contract manufacturing and OEM arrangements.
TL;DR
Dixon Technologies shares gained over 5 percent after reports suggested the government may soon approve its joint venture with Vivo. The proposed venture, in which Dixon will hold a 51 percent stake, is expected to strengthen smartphone manufacturing capabilities in India.
AI summary
- Dixon Technologies rose more than 5 percent on reports of imminent approval for its Vivo JV.
- The company will hold a 51 percent stake in the venture.
- Vivo’s Noida plant will become part of the arrangement.
- Vivo sold 3.5 crore phones in 2025, while Dixon produced 3.2 crore units.
- Dixon is also expanding into telecom equipment through a JV with Gemtek Technology.
