Shares of Dixon Technologies rose more than 1 percent to Rs 11,738 on the BSE after its subsidiary Dixon Electroconnect signed an agreement with Gemtek Technology to create a joint venture in India. The venture will produce and supply optical transceivers, SFP modules, BOSA units and other agreed telecom products. Dixon Technologies will own 60 percent of the venture while Gemtek will hold 40 percent once the deal closes. Completion depends on final agreements, standard conditions and necessary regulatory approvals. The partnership aims to combine Dixon’s production strengths with Gemtek’s expertise in optical modules and networking technologies. It will target demand from data centers, telecom networks, cloud services and related applications. Dixon Electroconnect’s status under the ECMS scheme is expected to support operations. In the March quarter, Dixon reported consolidated net profit of Rs 256 crore, down 36 percent from Rs 401 crore a year earlier. Revenue from operations increased 2 percent to Rs 10,511 crore while total income rose 3 percent to Rs 10,595 crore.
