Foxconn India Subsidiary Files IPO Papers With SEBI For Rs 5,004 Crore

- Advertisement -

Bharat FIH, in its DRHP, said that it may require additional capital or financing from time to time, including for expansion of manufacturing facilities and investment in R&D

Taiwanese contract electronics manufacturer Foxconn’s India subsidiary Bharat FIH Ltd is joining the IPO bandwagon, as it files the draft prospectus with the Securities & Exchange Board of India (Sebi) to raise Rs 5,004 crore.

The IPO will consist of a fresh issue of shares of up to 25.02 billion shares. In addition, a Foxconn unit holding shares of Bharat FIH will divest a portion of its stake to raise an equal amount.

- Advertisement -

The fresh capital will be used to upgrade and expand facilities, invest in a subsidiary to finance capital expenditure needs, fund working capital requirements, and for other corporate purposes.

Bharat FIH, which was previously known as Rising Stars India, provides manufacturing and assembly services for Xiaomi’s mobile phones in India. It is the largest EMS provider in India with approximately 15 percent market revenue share in FY 2021.

The Foxconn company derives most of its revenue in India from Xiaomi. The company has operations across campuses in Andhra Pradesh and Tamil Nadu, each of which integrates manufacturing, warehousing, logistics and accommodation facilities.

This comes as Foxconn’s plant near Chennai embroiled in controversy and is will reportedly remain shut this week following protests sparked by a food poisoning incident.

The company is also undertaking R&D efforts and intends to continue building its R&D teams to provide product design and development and other value-added ODM services. It also recently established a Taiwan-based subsidiary, Bharat Taiwan Corporation, to explore opportunities for technology transfer and collaboration with our R&D centers in India.

Bharat FIH, in its DRHP, said that it may require additional capital or financing from time to time, including for expansion of manufacturing facilities and investment in R&D. Bharat FIH said that it is exploring opportunities to export its products to overseas markets, including the Middle East and Africa.

“Our location in India provides us with a geographical advantage and enables us to deliver products to local markets in those regions quickly and at competitive cost. We are also exploring opportunities to collaborate with mobile operators in Europe and the United States, with a view to exporting mobile phones and hearables that they can offer to their network customers,” it added in the prospectus.

“In Financial Years 2019, 2020 and 2021 and the six months ended 30 September 2021, Xiaomi accounted for revenues of Rs 300,946.54 million, 235,014.92 million, ₹149,086.77 million and ₹97,530.63 million, representing 87.81%, 89.05%, 94.24% and 96.13% of our revenue from operations for these periods,” the company revealed in the prospectus.

- Advertisement -

Most Popular Articles

Automotive car sensor

ISRO Chairman Urges Association With Automotive Industry To Produce Sensors Locally

0
The space research organization is making significant strides in creating indigenous car sensors to empower the automotive industry. At the Bangalore Tech Summit on November...

U.S. Approves $1.5B Subsidy For GlobalFoundries Expansion

0
Winning the $1.5 billion US government subsidy, GlobalFoundries is looking to power industries like automotive, IoT, and defence with advanced chip manufacturing in New...

Trump’s Tariff Plan Could Derange Electronics Pricing

0
From disrupting global semiconductor supply chain to inflating iPhone prices, what can Donald Trump's proposed tariff raise on Chinese imports can cause? Donald Trump,...
Chip Manifacturing-NIvidia

New Blackwell Chip Will Propel Nvidia’s Unprecedented Market Growth In Coming Years

0
These chips have effectively dispelled concerns regarding potential pullbacks from tech giants investing heavily in AI processing and data centers. The global AI backed fabless...

David Goeckeler Appointed Chair Of SIA Board

0
Bringing 40 years of tech experience to lead the global semiconductor industry, David Goeckeler, CEO of Western Digital, joins to lead the SIA Board...
Abhishek Malik from Calcom Vision Limited

“India’s Electronics Sector Is Growing Rapidly, Making This The Decade For Investors To Engage”...

0
From the complexities of manufacturing and sourcing components to testing processes that drive innovation, know all the exciting dynamics shaping this ever-evolving industry in...
Sunit Kapur, CEO of Epsilon

“Epsilon Leads With Low-Carbon Graphite Manufacturing, Outpaces Chinese Competitors” – Sunit Kapur, CEO of...

0
Are LFP cathodes and silicon-graphite anodes the best for cost efficiency in EV batteries? Sunit Kapur, CEO of Epsilon Advanced Materials, discusses this with...
John W. Mitchell, President and CEO, IPC

“India’s Core Focus On 5G, IoT, AI Fosters Need For Advanced Electronics,Components, And Semiconductors”...

0
Will Industry 4.0 supercharge India’s progress in semiconductor and electronics manufacturing? IPC President and CEO John W. Mitchell shared more strategies on the country’s...
Raman M., Co-Founder and CEO, chargeMOD

“Our Goal Is To Achieve Complete Sustainability By 2025-2026” – Raman M. Of chargeMOD

0
In a conversation with Nitisha Dubey from EFY, Raman M. of chargeMOD, elaborated his goal of developing virtual power plants by decentralising power production. Q....

“Adoption Of IoT-Enabled SMT Machines Is Still In Early Phases” – Pradeep Tandon, Director...

0
While electronics are becoming smarter through the Internet of Things, is electronics manufacturing following suit? Pradeep Tandon, Director for India, Middle East, and SAARC...
Applied Materials Representational Image

Applied Materials Selects Six Startups For Deep-Tech Accelerator Programme

0
The selected deep-tech startups will be evaluated for investment by Applied Ventures and potential collaboration opportunities with Applied Materials. In collaboration with the company's India...

Space tech Startup Akash Secures $68M CHIPS Funding

0
Eyeing to power into AI, EVs, and more high-tech industries, Akash Systems lands $68 million CHIPS grant to boost its cooling tech facility, generating...

Wireless Light-Based Communication With Velmenni’s Technology

0
Velmenni is at the forefront of wireless communication innovation with its pioneering light-based technologies, Li-Fi and LC Link. Founded by Deepak Solanki in October 2014...

Harnessing AI Technology For Efficient Pest Management

0
AI-Genix, an agri-tech startup, is transforming pest management for farmers through advanced AI-enabled systems that precisely target harmful pests. In an industry where pesticides and...

One Charger To Charge All Your Devices

0
Now, there is no need to carry different chargers for different products. This Bhubaneswar startup has launched a universal 65W charger using GaN technology...

Industry's Buzz

Learn From Leaders

Startups