Dixon-Vivo JV receives much-awaited approval: 51:49 JV with Vivo provides high mobile volume visibility over the medium term

研报英文原文证据摘录

Dixon-Vivo JV receives much-awaited approval: 51:49 JV with Vivo provides high mobile volume visibility over the medium term

Global Markets Research

Dixon Technologies India DIXO.NS DIXON IN 9 July 2026

EQUITY: CONSUMER RELATED

RatingDixon-Vivo JV receives much-awaited approval Remains Buy

Target price51:49 JV with Vivo provides high mobile volume visibility Remains INR 13,813

over the medium term

Closing price INR 13,477 9 July 2026Dixon-Vivo (51:49) JV incorporated post Press Note 3 approval on 8 July

Dixon Technologies announced on 8 July 2026 (link) that it had received the pending PN- Implied upside +2.5%3 approval from the government. Thus, it has executed the proposed 51:49 JV with Vivo

Mobile India Private Limited (VMI) and incorporated “JV Co”. Note that Dixon had earlier Market Cap (USD mn) 8,640.1

(Dec-24, link) announced that the JV would undertake a part of Vivo’s OEM orders of ADT (USD mn) 86.1

smartphones in India and also engage in the OEM business of various other electronic

products.

Relative performance chartAccording to the announcement, Dixon will hold a 51% stake in the JV Co for a cash

consideration. The JV Co will purchase certain manufacturing assets and enter into a

manufacturing and packaging agreement with VMI to undertake a part of OEM orders of VMI.

Our view: The JV will likely provide significant scale benefit and medium-term

volume visibility in mobiles for Dixon (potential to capture ~35-38% industry share)

and scope of margin improvement from backward integration

We note that VMI is a leading player (volume terms) in India with a ~23% market share

(as of CY25) with ~35mn units (up 15% y-y in CY25, despite sharp price hikes leading to

~2% y-y decline in industry). This approval provides volume visibility for further ramp up in

Dixon.