RR Kabel Limited sets IPO price band at ₹983-1,035 per share

RR Kabel IPO price band set at ₹983-1,035 per share; check latest GMP, other key details.

RR Kabel IPO comprises fresh issue of equity shares worth ₹180 crore and an offer for sale (OFS) of 1.72 crore equity shares worth ₹1,784 crore by the promoters and investors.

MUMBAI, 8 SEPTEMBER, 2023 (TGN): RR Kabel Limited IPO: The initial public offering (IPO) of consumer electrical product maker RR Kabel is set to open for public subscription on September 13. The IPO will close on September 15, while the anchor book will be opened for a day on September 12.

RR Kabel IPO price band has been fixed at ₹983-1,035 per share. At the upper end of the price band, RR Kabel aims to raise ₹1,964 crore from the IPO.The IPO comprises fresh issue of equity shares worth ₹180 crore and an OFS of 1.72 crore equity shares worth ₹1,784 crore by the promoters and investors.

In the OFS, TPG Asia VII SF Pte Ltd will offload 1.29 crore equity shares, while public shareholder Ram Ratna Wires will sell its entire shareholding of 13.64 lakh shares.

Other selling shareholders in the OFS include promoters Mahendrakumar Kabra, Hemant Kabra, Sumeet Kabra and Kabel Buildcon Solutions, a part of the promoter group.

In the RR Kabel IPO, the company has reserved ₹10.8 crore worth shares for its employees. It is offering shares to employees at a discount of ₹98 per share to the final offer price.RR Kabel IPO lot size is 14 equity shares and the minimum investment amount required by retail investors is ₹14,490.

The company is expected to fix the basis of allotment of IPO shares on September 21 and initiate refunds on September 22, while credit the shares in the demat accounts of eligible allottees on September 25.

RR Kabel shares are likely to be listed on September 26 on BSE and NSE.The company plans to utilise the fresh issue proceeds mainly for repaying debt amounting to ₹136 crore, and for general corporate purposes.

The book running lead managers for RR Kabel IPO are Axis Capital, Citigroup Global Markets India, HSBC Securities & Capital Markets and JM Financial.Link Intime India is the IPO registrar.

RR Kabel provides consumer electrical products used for residential, commercial, industrial, and infrastructure purposes and operates in two broad segments - wires & cables and FMEG (fast moving electrical goods), including fans, lights, switches and appliances.

RR Kabel IPO GMP Today

RR Kabel IPO GMP today, or grey market premium today, is ₹40 per share, according to market observers. This means that RR Kabel shares are trading higher by ₹40 than their issue price, in the grey market. This indicates a premium of 3.86% to the issue price of ₹1,035 per share.

Considering the GMP today and the issue price, the estimated listing price of RR Kabel shares is ₹1,075 apiece.