R R Kabel IPO
Incorporated in 1995, R R Kabel Limited provides consumer electrical products used for residential, commercial, industrial, and infrastructure purposes.
R R Kabel has two broad segments:
- Wires and cables including house wires, industrial wires, power cables, and special cables; and
- FMEG including fans, lighting, switches, and appliances.
The company undertakes the manufacturing, marketing, and sale of wires and cable products under 'RR Kabel' brand, and fans and lights under the 'Luminous Fans and Lights' brand.
In 2020, R R Kabel acquired Arraystorm Lighting Private Limited and obtained light emitting diode (LED) lights and related hardware business (LED Lights Business) along with its trademarks and design certificates, to expand their portfolio to cover office, industrial, and warehouse spaces. In 2022, the company acquired the home electrical business (HEB) of Luminous Power Technologies Private Limited, and obtained a limited and exclusive license to use the Luminous Fans and Lights brand for fan and light products for a maximum period of four years with a one-time option to further renew the license for a period of three months and, that includes a right to use 61 registered trademarks, and a portfolio of lights and premium fans, to strengthen our FMEG portfolio.
The company has two manufacturing units located at Waghodia, Gujarat, and Silvassa, Dadra and Nagar Haveli, and Daman and Diu which primarily carry out manufacturing operations of wire and cables and switches. Apart from that, it owns and operates three integrated manufacturing facilities which are located at Roorkee, Uttarakhand; Bengaluru, Karnataka; and Gagret, Himachal Pradesh, which carry out manufacturing operations in respect of FMEG products.
R R Kabel's clientele comes from both the domestic market and international markets. In the last three months ending June 30, 2023, 71% of its revenue from operations came from the wires and cables segment; and 97% of the revenue from operations came from the FMEG segment, from the B2C channel.
R R Kabel IPO Details
R R Kabel IPO is a Book Built Issue. The IPO total issue size is Rs 1,964.01 Cr. The R R Kabel IPO price is ₹983 to ₹1035 per share. The IPO will list on BSE, NSE.
| IPO Date | September 13, 2023 to September 15, 2023 |
| Listing Date | [.] |
| Face Value | ₹5 per share |
| Price | ₹983 to ₹1035 per share |
| Lot Size | 14 Shares |
| Total Issue Size | 18,975,939 shares (aggregating up to ₹1,964.01 Cr) |
| Fresh Issue | 1,739,131 shares (aggregating up to ₹180.00 Cr) |
| Offer for Sale | 17,236,808 shares of ₹5 (aggregating up to ₹1,784.01 Cr) |
| Employee Discount | Rs 98 per share |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Share holding pre issue | 95,696,296 |
| Share holding post issue | 97,435,427 |
R R Kabel IPO Timetable (Tentative)
R R Kabel IPO opens on September 13, 2023, and closes on September 15, 2023.
R R Kabel IPO Lot Size
The minimum lot size of this R R Kabel IPO is 14 shares required is ₹14,490.
R R Kabel IPO Promoter Holding
Tribhuvanprasad Rameshwarlal Kabra, Shreegopal Rameshwarlal Kabra, Mahendrakumar Rameshwarlal Kabra, Kirtidevi Shreegopal Kabra, Tribhuvanprasad Kabra HUF, Kabra Shreegopal Rameshwarlal HUF and Mahendra Kumar Kabra HUF are the promoters of the company.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 14 | ₹14,490 |
| Retail (Max) | 13 | 182 | ₹188,370 |
| S-HNI (Min) | 14 | 196 | ₹202,860 |
| S-HNI (Max) | 69 | 966 | ₹999,810 |
| B-HNI (Min) | 70 | 980 | ₹1,014,300 |
| Share Holdings | Percentage |
|---|---|
| Pre Issue Share Holding | 66.42% |
| Post Issue Share Holding | 62.77% |
R R Kabel IPO Reservation
R R Kabel IPO a total of 18,975,938 shares are offered. QIB: 3,772,137 (19.88%), RII: 6,601,237 (34.79%), NII: 2,829,102 (14.91%).
| Anchor Investor Shares Offered | 5,658,201 (29.82%) |
| QIB Shares Offered | 3,772,137 (19.88%) |
| NII (HNI) Shares Offered | 2,829,102 (14.91%) |
| Retail Shares Offered | 6,601,237 (34.79%) |
| Employee Shares Offered | 115,261 (0.61%) |
| Total Shares Offered | 18,975,938 (100%) |
R R Kabel IPO Anchor Investors Details
R R Kabel IPO raises Rs 585.62 crore from anchor investors. R R Kabel IPO Anchor bid date is September 12, 2023. R R Kabel IPO Anchor Investors list-
| Bid Date | September 12, 2023 |
| Shares Offered | 5,658,201 |
| Anchor Portion Size (In Cr.) | 585.62 |
| Anchor lock-in period end date for 50% shares (30 Days) | November 6, 2023 |
| Anchor lock-in period end date for remaining shares (90 Days) | February 1, 2024 |
Company Financials
R R Kabel IPO Financial Information (Restated Consolidated)
| Period Ended | 31 Mar 2020 | 31 Mar 2021 | 31 Mar 2022 | 31 Mar 2023 |
| Assets | 1,545.36 | 1,715.11 | 2,050.64 | 2,633.62 |
| Revenue | 2,505.54 | 2,745.94 | 4,432.22 | 5,633.64 |
| Profit After Tax | 122.40 | 135.40 | 213.94 | 189.87 |
| Net Worth | 875.07 | 1,033.38 | 1,237.05 | 1,390.47 |
| Reserves and Surplus | 459.23 | 594.93 | 781.31 | 914.15 |
| Total Borrowing | 395.29 | 498.71 | 521.11 | 515.84 |
Key Performance Indicator
| KPI | Values |
|---|---|
| Market Cap (₹ Cr.) | 11675.63 |
| ROE | 14.22% |
| ROCE | 15.57% |
| Debt/Equity | 0.36 |
| EPS (Rs) | 17.09 |
| RoNW | 13.66% |
Objects of the Issue
The company intends to utilize the net proceeds from the issue towards the funding of the following objects:
- Repayment or prepayment, in full or in part, of borrowings availed by the company from banks and financial institutions.
- General corporate purposes.
R R Kabel IPO Subscription Status (Bidding Detail)
The R R Kabel IPO is subscribed 0.10 times on Sep 13, 2023 12:33:00 PM.
The public issue subscribed 0.17 times in the retail category, 0.00 times in the QIB category, and 0.07 times in the NII category.
| Category | Subscription (times) | Shares Offered | Shares bid for |
|---|---|---|---|
| QIB | 0.00 | 37,72,137 | 0 |
| NII | 0.07 | 28,29,102 | 1,89,574 |
| bNII (bids above ₹10L) | 0.04 | 18,86,068 | 74,956 |
| sNII (bids below ₹10L) | 0.12 | 9,43,034 | 1,14,618 |
| Retail | 0.17 | 66,01,237 | 10,90,054 |
| Employee | 0.28 | 1,15,261 | 32,788 |
| Total | 0.10 | 1,33,17,737 | 13,12,416 |
