Hon Hai Foxconn India subsidiary, spin-off and listing schedule delayed
There are new changes in the layout of Hon Hai Group in India. Its Foxconn has decided to postpone the timetable for the proposed spin-off of its subsidiary Bharat FIH Limited (BFIH), which means that the listing of BFIH in India will be delayed.
According to Taiwan's Central News Agency on Friday (October 21), Foxconn pointed out in its announcement on Thursday (20th) that the proposed spin-off is commercially beneficial to Foxconn and BFIH, and the company intends to continue the proposed spin-off when market conditions improve.
Foxconn pointed out that the proposed spin-off is subject to approval by the relevant Indian regulators, subject to market conditions and other factors, and there is no guarantee that the proposed spin-off will take place or when.
Foxconn notified shareholders in December 2021 of the proposed BFIH spin-off and the independent listing of its equity shares on the Bombay Stock Exchange of India and the National Stock Exchange of India.
BFIH has submitted unofficial draft prospectuses to the Securities and Exchange Board of India, the Bombay Stock Exchange and the Stock Exchange of India on the proposed spin-off in December 2021. In mid-June this year, the Securities and Exchange Board of India (SEBI) announced the listing of BFIH in India.
According to BFIH's application for listing in India, BFIH is the largest supplier of electronic foundry services (EMS) in India. Last year, BFIH had a revenue share of about 15% in the Indian electronic foundry services (EMS) market.
BFIH has three campuses in southern India, and its main Original Equipment Manufacturer (OEM) customers include mobile phones, machinery, electric vehicles, televisions, wearables, telecommunications and networking products, and other communication hardware manufacturers.