Dixon Technologies Share Price Rises To Record High As It Forms JV With Vivo India

Dixon Technologies (India) Ltd. share price rose to record high as it's forming a joint venture with the Vivo Mobile India Pvt. Ltd. to carry out the latter's original equipment manufacturer business for electronic devices and smartphones. Dixon Technologies has entered into a binding term sheet with Vivo Mobile India.

Dixon Technologies holds a 51% stake in the joint venture and Vivo Mobile India holds 49% of the share capital. Both of the companies do not have any stake in each other, Dixon Technologies said in an exchange filing on Monday.

The joint facility will undertake part of Vivo's OEM orders of smartphones in India, and can also engage in OEM business of various electronic products of other brands, the company said in an exchange filing.

Dixon Technologies and Vivo Mobile India have entered into the binding term sheet on Dec 15.

Dixon Technologies share price rose 1.68% to a record high of Rs 19,148.90 apiece. It was trading 0.82% higher at Rs 18,980.35 apiece as of 10:22 a.m., as compared to 0.90% decline in the NSE Nifty 50 index.

The stock surged 202.91% in 12 months, and 189.3% on year to date basis. Total traded volume so far in the day stood at 1.7 times its 30-day average. The relative strength index was at 83.37.

Out of 31 analysts tracking the company, 15 maintain a 'buy' rating, seven recommend a 'hold,' and nine suggest 'sell', according to Bloomberg data. The average 12-month consensus price target implies a downside of 21.5%