Bain Capital Secures $136 Mn Loan to Finance Its Minority Stake in Dhoot Transmission

Bain Capital has secured a $136 million loan to finance its acquisition of a minority stake in Dhoot Transmission Group, an Indian automotive parts manufacturer reported Business Standard. The loan is structured as a five-year facility, split into a $111 million term loan and a $25 million revolving credit facility.

DBS Group Holdings and HSBC Holdings, are managing the deal. The borrowing is being syndicated to a limited number of lenders.

Bain Capital aims to leverage its global automotive expertise to support Dhoot Transmission's growth and expansion.

Dhoot Transmission, founded in 1999 by Rahul Dhoot, specializes in electronic sensors, controllers, power cords, and automotive cables. Bain Capital's investment aligns with its broader strategy of expanding its presence in India's auto components sector.

This move could be particularly interesting to India’s precision manufacturing sector as it strengthens India’s position as a global hub for automotive electronics and wiring harnesses, and encourages foreign investments in precision manufacturing.

Dhoot Transmission’s role in automotive electronics might have implications for EV supply chains and advanced manufacturing.

Dhoot Transmission’s expertise in electronic sensors and controllers could support EV manufacturers. Bain’s backing may help scale production for electric vehicle components.

Dhoot Transmission is headquartered in Aurangabad, Maharashtra and operates 23 manufacturing facilities across India, UK, Slovakia, Thailand, Japan, and South Korea. In Acquired TFC Cables (Scotland), Parkinson Harness (UK), and San Electromec (India) to expand its footprint.