Bain-backed Dhoot Transmission files confidential draft paper for potential $250 million IPO

MUMBAI: Bain Capital-backed auto components maker Dhoot Transmission Ltd has filed draft papers with the Securities and Exchange Board of India (Sebi) under the confidential pre-filing route, according to a public announcement in local newspapers on Tuesday. The Aurangabad-based company could raise up to $250 million through a mix of primary and secondary share sales, two people familiar with the development told Mint. Bain Capital is expected to divest a portion of its stake, while the promoter group currently does not plan to sell any shares, one of these people added. A second person confirmed the development but noted that the IPO size and details of the stake sale could change depending on market conditions and company requirements. Bain Capital invested in Dhoot in early 2025 and currently holds a 49% stake. Its investment coincided with the consolidation of promoter-held entities, including Dhoot Holding Pvt., into Dhoot Transmission. According to the public announcement, the shares will have a face value of ₹2 each and are planned to be listed on both the BSE and the National Stock Exchange. “The filing of the pre-filed draft red herring prospectus shall not necessarily mean that the company will undertake the offer,” the notice said. A confidential filing allows firms to seek regulatory feedback from Sebi without making the draft prospectus public until a decision to proceed is taken. Before the actual share sale, the company must file an updated draft red herring prospectus for public comment. Axis Capital, Jefferies India, Kotak Mahindra Capital Co., Nomura Financial Advisory and Securities (India), SBI Capital Markets, and 360 One WAM are reported to be managing the issue. Mint has reached out to Dhoot Transmission for a comment. Founded by Rahul Dhoot in 1999, Dhoot Transmission supplies original equipment manufacturers in the automotive and consumer durables sectors. Its products include wiring harnesses, automotive switches, electronic sensors, and controllers, serving two- and three-wheelers, passenger and commercial vehicles, off-road vehicles, and earth movers. A July 2025 Crisil report described Dhoot Transmission as “one of the largest players in the wire harness segment,” supplying major manufacturers such as Bajaj Auto Ltd, TVS Motor Co, Honda Motorcycle & Scooter India Pvt, and Royal Enfield. The report noted that Dhoot’s product and capacity expansions helped revenue rise to ₹2,653 crore in fiscal 2024 from ₹1,550 crore in fiscal 2022. The company also derives 15-20% of its revenue from overseas operations. Dhoot Transmission’s filing comes as the auto components sector grows increasingly confident of tapping public markets. Over recent years, companies including ASK Automotive and Motherson Sumi Wiring India have also listed on Indian exchanges.