R R Kabel Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
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IPO Snapshot
Key metrics and details at a glance.
Price Band
₹1,035
Per ShareLot Size
14 Shares
Minimum Investment
₹14,490
Issue Size
₹1,964.01 Cr
Face Value
₹5
Per ShareIPO Type
Book Building
Retail Quota
35%
QIB Quota
50%
NII Quota
15%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
R R Kabel Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
29.13%
Issue Type
Book Building
ISIN
INE777K01022
About the Company
R R Kabel Limited is one of the leading companies in the Indian consumer electrical industry (comprising wires and cables and fast moving electrical goods), with an operating history of over 20 years in India. The Company is the fastest growing consumer electrical company among its peers in India, growing at a compounded annual growth rate of 43.4% between Fiscal 2021 and Fiscal 2023. The Company sells products across two broad segments - (i) wires and cables including house wires, industrial wires, power cables and special cables; and (ii) fast moving electrical goods including fans, lighting, switches and appliances.
Industry Overview
India is the third largest producer and the second largest consumer of electricity in the world. Consumer electrical (wires and cables and fast moving electrical goods) industry is one of the important aspects of the Indian economy, contributing approximately 8% to the country's manufacturing production, approximately 1.5% to India's GDP and approximately 1.5% to India's exports. The consumer electrical industry consisting of wires and cables and fast moving electrical goods was estimated at approximately Rs. 1,811,500 million in Fiscal 2023 and is expected to grow at a compounded annual growth rate of approximately 10% till Fiscal 2027 to reach a market value of approximately Rs. 2,665,000 million.
Company History
R R Kabel Limited was originally incorporated as `Ram Ratna Agro-Plast Limited' at Mumbai, Maharashtra as a public limited company under the Companies Act, 1956, pursuant to the certificate of incorporation dated February 6, 1995, issued by RoC and commenced operations pursuant to a certificate of commencement of business dated June 29, 1995. Subsequently, the name of the Company was changed to `R R Kabel Limited' and a fresh certificate of incorporation dated November 8, 2000 was issued by the RoC.
Products & Services
- R R Kabel Limited is one of the leading companies in the Indian consumer electrical industry (comprising wires and cables and fast moving electrical goods)
Growth Strategy
- Expand distribution and establish leadership position for its wires and cables segment in India.
- Enhance its geographical footprint of its wires and cables segment.
- Capitalize on the market opportunity in wires and cables segment, including through innovation and product development to expand its product portfolio.
- Grow and expand FMEG segment organically and inorganically.
- Enhance productivity and operational efficiencies.
- Enhancing its environmental initiatives.
- Description of its Business and Operations.
Customer Base
Wholesalers and Retailers
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a consolidated basis, as reported for FY24 to FY26.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public offer of 18,986,851* equity shares of face value of Rs. 5 each ("Equity Shares") of R R Kabel Limited ("Company") for cash at a price of Rs. 1035^ per equity share (including a premium of Rs. 1,030 per equity share) ("Offer Price") aggregating to Rs. 1964.01 crores* (the "Offer") comprising a fresh issue of 1,750,043* equity shares aggregating to Rs. 180.00 crores* by the company ("Fresh Issue") and an offer for sale of 754,417* equity shares aggregating to Rs. 78.08 crores* by Mahendrakumar Rameshwarlal Kabra, 754,417* equity shares aggregating to Rs. 78.08 crores* by Hemant Mahendrakumar Kabra, 754,417* equity shares aggregating to Rs. 78.08 crores* by Sumeet Mahendrakumar Kabra, 707,200* equity shares aggregating to Rs. 73.20 crores* by Kabel Buildcon Solutions Private Limited, 1,364,480* equity shares aggregating to Rs. 141.22 crores* by Ram Ratna Wires Limited and 12,901,877* equity shares aggregating to Rs. 1335.34 crores* by TPG Asia Vii sf Pte. Ltd. (collectively the "Selling Shareholders") (such equity shares offered by the selling shareholders, the "Offered Shares"). The offer includes a reservation of 115,261* equity shares, aggregating to Rs. 10.80 crores (constituting 0.10% of the post-offer paid-up equity share capital), for subscription by eligible employees ("Employee Reservation Portion"). The company and investor selling shareholder, in consultation with the book running lead managers, has offered a discount of Rs. 98 per equity share to eligible employees bidding under the employee reservation portion ("Employee Discount"). The offer and net offer constitute 16.83% and 16.73% of the post-offer paid-up equity share capital of the company, respectively. The face value of equity shares is Rs. 5 each. The offer price is 207.00 times the face value of the equity shares. ^A discount of Rs. 98 per equity share was offered to eligible employees bidding in the employee reservation portion. *Subject to finalisation of basis of allotment.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- Scaled B2C business in the large and growing wires and cables industry;
- Diverse suite of products driven by its focused research and development efforts with global certifications and accreditations;
- Extensive domestic and global distribution network.
- Well recognized consumer brands; and.
- Technologically advanced and integrated precision manufacturing facilities.
- The costs of the raw materials that the company uses in its manufacturing process are subject to volatility due to factors beyond its control. Increases or fluctuations in raw material prices may have a material adverse effect on its business, financial condition, results of operations and cash flows.
- Any shortages, delay or disruption in the supply of the raw materials the company uses in its manufacturing process due to factors beyond the company control may have a material adverse effect on its business, financial condition, results of operations and cash flows.
- Any disruption, breakdown or shutdown of its manufacturing facilities or the company original equipment manufacturer suppliers may have a material adverse effect on its business, financial condition, results of operations and cash flows.
- The company inability to maintain the stability of its distribution network across the company distribution channels and attract additional distributors, dealers and retailers may have a material adverse effect on its results of operations and financial condition.
- The company is dependent on the performance of the wires and cables market. Any adverse changes in the conditions affecting the wires and cables market can adversely impact its business, financial condition, results of operations, cash flows and prospects.