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Dixon Technologies shares gain on signing MoU with KHY Electronic to buy assets for Rs 133 cr

20 Jan , 2025   By : Debdeep Gupta


Dixon Technologies shares gain on signing MoU with KHY Electronic to buy assets for Rs 133 cr

Dixon Technologies' share price gained nearly a percent in the early trade on January 20 as the company is going to acquire land and assets of KHY Electronic India.


At 09:24 am, Dixon Technologies was quoting at Rs 17,360.00, up Rs 128.25, or 0.74 percent, on the BSE.


The company subsidiary IsmartU India has entered into a binding Memorandum of Understanding with KHY Electronic India whereby the subsidiary will acquire, land and building, machinery, and other tangible assets from KHY, for an amount of up to Rs 133 crore excluding applicable taxes.


A meeting of the board of directors of the company is scheduled to be held on January 20, 2025, to consider and approve the unaudited financial results (standalone and consolidated) of the company for the quarter and nine months ended December 31, 2024.


Research house Emkay in its report dated January 14 has initiated coverage on the stock with a buy rating and target price of Rs 20,000.


With a management style centered around promoting entrepreneurship and strong execution within the organization, and by closely aligning itself with India’s global manufacturing hub ambition in consumer electronics, Dixon has, over time, successfully gained leadership across verticals and continuously expanded into adjacencies, it added.


The share touched a 52-week high of Rs 19,149.80 and a 52-week low of Rs 5,785.00 on 17 December 2024 and 24 January 2024, respectively.


Currently, the stock is trading 9.6 percent below its 52-week high and 199.26 percent above its 52-week low.


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