Bain Capital-backed Dhoot Transmission rose as much as 38.3% in its India trading debut on Monday, as investors bet on the company's expanding manufacturing capability and growing exposure to electric vehicle components.
Shares of the auto components maker traded 33.4% higher at 1,162 rupees, valuing the company at 236.3 billion rupees ($2.47 billion). The stock listed at a 37.8% premium to its issue price.
Dhoot Transmission, which makes wiring harnesses for automotive and industrial applications, counts Bajaj Auto as its biggest customer, contributing roughly a third of its annual revenue. The listing marks one of the strongest IPO debuts in India so far this year and comes as primary market activity picks up after a muted first half.
"The euphoria in Indian IPO market is coming back and that is visible in the subscription numbers. Most IPOs are being priced at reasonable valuations, which adds to the positive sentiment," said Kranthi Bathini, director of equity strategy at WealthMills Securities.
India has seen 26 IPOs launched or announced in less than two months since July, nearly matching the 28 recorded in the first half of 2026.
"These kinds of listings will draw further investor interest in the primary market," Bathini said.
Dhoot raised $96 million from anchor investors, including BlackRock and the Abu Dhabi Investment Authority, ahead of its IPO.
The company expects India's shift to EVs to be one of its biggest growth drivers, as these vehicles require more wiring-harness content than internal combustion engine vehicles, CFO Nitin Kalani told Reuters ahead of the IPO launch earlier this month.
The IPO included a fresh issue of shares worth $146.5 million, the proceeds of which Dhoot plans to use to repay debt, invest in a subsidiary, set up a new wiring-harness manufacturing plant and fund inorganic growth.
