Stock Of Dixon Technologies Gains Over 3% As Govt Approval For Vivo JV Nears Clearance

Shares of Dixon Technologies rose by as much as 3.42% during intraday trade on Tuesday after reports suggested that the proposed joint venture between Dixon Technologies and Vivo is likely to receive government approval soon. The stock later trimmed some gains and was trading 2.35% higher at ₹12,082.

According to a CNBC-Awaaz report citing sources, the approval process is in its final stage, and the government is expected to issue the formal clearance letter shortly.

The Inter-Ministerial Group (IMG) has already granted its approval for the joint venture, leaving only the official issuance of the government’s approval pending.

Once approved, the joint venture is expected to enable Dixon Technologies and Vivo to move forward with their planned collaboration in India’s electronics manufacturing sector.

The partnership is seen as a significant development in strengthening domestic smartphone and electronics production.

There has been no official confirmation or comment from either Dixon Technologies or Vivo regarding the reported approval process.

As per the proposed structure, Vivo’s manufacturing facility located in Noida is expected to be brought under the joint venture framework.

This restructuring is likely to reduce the Chinese smartphone company’s regulatory and operational exposure in India while allowing continued local production.

The facility is expected to manufacture a portion of Vivo’s smartphones for the Indian market.

In addition, it may also undertake original equipment manufacturing (OEM) work for other electronics brands, expanding its operational scope beyond Vivo products.

Vivo is currently one of the largest smartphone brands in India, with estimated sales of around 3.5 crore units in 2025.

In comparison, Dixon Technologies manufactured approximately 3.2 crore mobile phones during the same period, highlighting both companies’ scale in the handset market.

Financially, Dixon Technologies reported revenue of ₹48,873 crore in FY26. Its mobile phone and electronics manufacturing services (EMS) segment contributed ₹44,257 crore, making it the company’s core business driver.

The anticipated joint venture is expected to further strengthen Dixon’s position in India’s fast-growing electronics manufacturing ecosystem while aligning with the country’s push for domestic production and supply chain localisation.