Dixon Technologies shares in focus as DRI searches arm's Noida manufacturing unit

Shares of Dixon Technologies (India) Ltd, the largest home-grown design-focused and solutions company, will be in focus on Friday morning after the company told stock exchanges that the Directorate of Revenue Intelligence (DRI) conducted a search with respect to classification of the raw material imported for manufacturing of one of the products at the manufacturing facility of one of a subsidiary company at Noida on January 1.

Dixon Technologies, which is engaged in manufacturing products in the consumer durables, lighting and mobile phones markets, said the search concluded at 8 PM on the same day, adding that the impact on financial, operation or other activities of the listed entity cannot be quantified at this point of time.

"However, in our assessment, we understand that it will not have any material impact on financial operations or other activities of the company. The issues raised by the D.R.I. are interpretational in nature and we stand committed to defend our interpretation using all recourse available to us," Dixon Technologies said.

Dixon Technologies said that it extended full cooperation to the D.R.I, including providing complete information in a timely manner. Recently, shares of cables and wires maker Polycab India was in focus amid alleged tax evasion issue. In  the past, there were income tax department raids at Mankind Pharma in May 2023, Shree Cement Ltd in June 2023, Hero MotoCorp Ltd in August 2023 (Enforcement Directorate searches at company's offices and executive chairman's residence), Havells India in November 2023 and RR Kabel Ltd in the same month.

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