R R Kabel IPO – Review, Bid, Size, Allotment, Subscription, GMP & RHP

R R Kabel is gearing up for its Initial Public Offering (IPO), scheduled from September 13 to September 15, 2023. This IPO presents an attractive investment opportunity for various investor categories.

With an issue size of 18,975,938 shares and a price range of Rs 983 to Rs 1035 per share, it aims to raise Rs 1,964.01 Crores. R R Kabel’s presence in the consumer electrical industry, including the Fast Moving Electrical Goods (FMEG) sector, adds to its appeal.

While the Grey Market Premium (GMP) indicates strong investor interest, the subscription status and market conditions will ultimately determine its success. An in-depth examination of these variables is required to determine the profitability of this much-anticipated R R Kabel IPO.

R R Kabel IPO Overview

R R Kabel is set to launch an Initial Public Offering (IPO) as a Book Built Issue, scheduled from September 13, 2023, to September 15, 2023.

The IPO aims to raise Rs 1,964.01 Crores through a total issue size of 18,975,938 shares, with a price range of Rs 983 to Rs 1035 per share. The company offers a lot size of 14 shares, with a face value of Rs 5 per share.

This R R Kabel IPO comprises two components: a Fresh Issue of 1,739,130 shares, targeting Rs 180.00 Crores in capital, and an Offer for Sale of 17,236,808 shares, valued at Rs 1,784.01 Crores. R R Kabel extends an employee discount of Rs 98 per share. Post-issue, the shareholding will increase from 95,696,296 to 97,435,426 shares.

Following the IPO, R R Kabel will be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE), providing investors with trading access.

The success of this IPO will depend on market sentiment, industry conditions, and the company’s financial performance, making it an event to watch closely in the upcoming weeks.

R R Kabel IPO Important Dates

The R R Kabel IPO is scheduled to open on Wednesday, September 13, 2023, and close on Friday, September 15, 2023. Following the closure of the subscription window, the basis of allotment will be determined on Thursday, September 21, 2023. Refunds for unsuccessful applicants will be initiated on Friday, September 22, 2023.

Share credits to demat accounts are expected to be completed by Monday, September 25, 2023.

The much-anticipated listing of R R Kabel on the stock exchanges is slated for Tuesday, September 26, 2023. It’s important to note that the cut-off time for UPI mandate confirmation is set at 5 PM on September 15, 2023.

Investors keen on participating in the R R Kabel IPO should mark these R R Kabel IPO Important Dates on their calendars. Ensuring timely compliance with these dates is crucial for a seamless and successful involvement in this IPO opportunity.

R R Kabel IPO Price, Size, Share Offerings

The R R Kabel IPO offers investors an opportunity to participate in a Book Built Issue IPO with a face value of Rs 5 per share.

The R R Kabel IPO Price range is set between Rs 983 to Rs 1035 per share, making it accessible to a wide range of investors. The lot size for this IPO is fixed at 14 shares, requiring a minimum investment of Rs 14,490 for retail investors.

In terms of the total R R Kabel IPO size, R R Kabel aims to issue 18,975,938 shares, aggregating up to Rs 1,964.01 Crores.

This includes a Fresh Issue of 1,739,130 shares, amounting to Rs 180.00 Crores, and an Offer for Sale of 17,236,808 shares valued at Rs 1,784.01 Crores. Additionally, eligible employees can avail of an attractive discount of Rs 98 per share.

The IPO is structured to accommodate various categories of investors, with QIBs offering not more than 50.00% of the net offer, NII (HNI) offering not less than 15.00% of the offer, and Retail investors offering not less than 35.00% of the offer.

Following the IPO, the company’s pre-issue shareholding stands at 66.42%, while post-issue, it will be 62.77%. R R Kabel’s listing on the BSE and NSE is scheduled for September 26, 2023. Investors should take note of these details to make informed decisions about their participation in this IPO opportunity.

R R Kabel IPO Grey Market Premium

As of the latest update on September 8th, 2023, the Grey Market Premium (GMP) for the R R Kabel IPO stands at Rs 305. The GMP is an informal market where shares are bought and sold before their official listing on stock exchanges. It serves as an indicator of investor sentiment and demand for the IPO.

Considering the price band of Rs 983 to Rs 1035 per share for the R R Kabel IPO, the estimated listing price is projected at Rs 1340 per share, calculated as the cap price plus the current R R Kabel IPO GMP.

This suggests a potential percentage gain of approximately 29.47% per share for investors who secure shares during the IPO and sell them at the estimated listing price.

R R Kabel IPO Subscription Status

As of now, there is no data available regarding the R R Kabel IPO Subscription Status. The subscription status is a crucial indicator of investor interest and participation in the IPO. It reflects the number of times the shares offered in the IPO have been applied for by investors.

Investors and market enthusiasts often closely monitor the subscription status as it provides insights into the demand for the IPO and can influence market sentiment.

A high subscription rate is typically seen as a positive sign, indicating strong investor confidence in the company’s prospects. Conversely, a lower subscription rate may raise concerns.

Since no subscription data is currently available for the R R Kabel IPO, investors advise to keep a watchful eye on updates from official sources and financial news platforms as the IPO progresses.

R R Kabel IPO Allotment Status

Investors eagerly await for the R R Kabel IPO Allotment Status who have applied for shares during the subscription period. The allotment status provides crucial information about whether an investor to allocate shares in the IPO and, if so, how many. It is a significant milestone in the IPO process as it determines the outcome of an investor’s application.

As of the current update, there is no data available regarding the allotment status of the R R Kabel IPO. Typically, the basis of allotment determine shortly after the IPO’s closing date, and the allotment status make accessible to investors online. Investors can check the status by visiting the official website of the registrar or the stock exchange where the IPO is listed.

R R Kabel IPO Live Performance

As of today, there is no data available on the R R Kabel IPO Live Performance. The IPO will begin on September 13, 2023, and end on September 15, 2023.

Following the close of the subscription window, the basis of allotment, refunds, and share credits to demat accounts will take place in the days that follow. R R Kabel will list on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) on September 26, 2023.

There is no information on its live performance on the secondary market because the IPO process has yet to begin. Investors and experts will closely examine the IPO’s progress and performance following its listing to gauge its viability.

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Latest R R Kabel IPO News

According to the most recent information, there is no particular R R Kabel IPO News or updates. This lack of news might suggest that there have been no substantial advancements or announcements about the IPO up to this point.

Investors and market participants frequently rely on news and updates to make educated judgments regarding IPOs, but it’s crucial to realize that the lack of news does not always reflect a negative element of the IPO.

Companies may opt to maintain a low profile in the run-up to an IPO, or there may simply be no newsworthy developments to report at a given moment.

R R Kabel – Company Review

Established in 1995, R R Kabel Limited is a renowned provider of consumer electrical products for residential, commercial, industrial, and infrastructure applications.

In 2020, R R Kabel expanded by acquiring Arraystorm Lighting Private Limited, bolstering its presence in LED lighting solutions for office, industrial, and warehouse spaces. In 2022, it further enhanced its FMEG portfolio through the acquisition of the home electrical business (HEB) of Luminous Power Technologies Private Limited.

The company operates manufacturing units in Gujarat and Dadra and Nagar Haveli, primarily focused on wire and cable production. Additionally, integrated manufacturing facilities in Uttarakhand, Karnataka, and Himachal Pradesh cater to FMEG products.

R R Kabel serves a diverse clientele both domestically and internationally, with wires and cables accounting for 71% of recent revenue, and FMEG products, sourced mainly from the B2C channel, contributing 97%.

With a robust product portfolio and strategic acquisitions, R R Kabel has established itself as a prominent player in the consumer electrical products industry.

Products or Services

The company operates in two core segments:

• Wires and Cables: R R Kabel’s offerings encompass house wires, industrial wires, power cables, and specialize cables. These products market under the ‘RR Kabel’ brand, known for its quality.

FMEG (Fans, Lighting, Switches, and Appliances): The company also ventures into the Fast Moving Electrical Goods (FMEG) sector, offering fans, lighting solutions, switches, and appliances. Fans and lights sell under the ‘Luminous Fans and Lights’ brand.

Promoters and Holding

The leadership drives with a team of 7 directors and 2 key management R R Kabel lead with a group of promoters who plays a significant role in the company’s growth and success. The key promoters of the company are:

• Tribhuvan Prasad Rameshwarlal Kabra: He serves as the Executive Chairman on the company’s board.
• Shreegopal Rameshwarlal Kabra: He holds the position of Managing Director on the board.
• Mahendrakumar Rameshwarlal Kabra: He is the Joint Managing Director of the company.
• Kirtidevi Shreegopal Kabra: She is also one of the promoters of R R Kabel.

In addition to these individual promoters, there are also Hindu undivided family (HUF) entities associated with the promoters:

• Tribhuvanprasad Kabra HUF: It is a Hindu undivided family with Tribhuvanprasad Rameshwarlal Kabra as the Karta (head). This HUF consists of various family members.
• Kabra Shreegopal Rameshwarlal HUF: Similar to the above, this HUF consist of Shreegopal Rameshwarlal Kabra and includes family members.
• Mahendra Kumar Kabra HUF: This HUF consist of Mahendrakumar Rameshwarlal Kabra and comprises family members.

As of the date of the Red Herring Prospectus, the promoters collectively hold 32,382,385 Equity Shares, representing 29.14% of the issued, subscribed, and paid-up Equity Share capital of R R Kabel on a fully diluted basis.

Is R R Kabel good for Investment?

R R Kabel Limited is a prominent player in India’s consumer electrical industry, contributing significantly to the country’s manufacturing production, GDP, and exports.

The sector encompasses two primary segments: wires and cables (W&C) and fast-moving electrical goods (FMEG). Wires are single conductors use for electricity and telecommunications, while cables are groups of conductors serving the same purpose. FMEG includes electrical appliances like fans, lighting, electric heaters, and household devices.

R R Kabel, a key player in the W&C industry, has expanded into the FMEG segment, capitalizing on its brand recognition and distribution network. The company’s strong presence in W&C, primarily used for electrical power distribution and transmission, positions it favourably in the market.

Industry trends include a shift towards branded products due to increased consumer awareness of safety and quality. Rising disposable incomes have also fueled demand for premium, technologically advanced FMEG products.

Direct consumer engagement and marketing initiatives play essential roles, with both above-the-line (ATL) and below-the-line (BTL) strategies employed.

Key growth drivers for the industry include government infrastructure investments, urbanization, rural electrification, the transition to electric vehicles (EVs), and the push for renewable energy sources. R R Kabel is well-position to benefit from these opportunities, given its diversify presence and strategic focus in the consumer electrical industry.

R R Kabel Financial Statements

R R Kabel IPO Review

R R Kabel’s upcoming Initial Public Offering (IPO) presents an enticing investment opportunity. Scheduled from September 13 to September 15, 2023, this Book Built Issue aims to raise Rs 1,964.01 Crores. That is through 18,975,938 shares, priced between Rs 983 and Rs 1035 per share. With a lot size of 14 shares and a face value of Rs 5 per share, it accommodates various investor categories.

R R Kabel, a leading player in consumer electricals, has expanded into the Fast Moving Electrical Goods (FMEG) sector, enhancing its growth potential. The Grey Market Premium (GMP) currently stands at Rs 305, indicating robust investor interest.

While the subscription status is pending, R R Kabel’s strong financial performance and strategic acquisitions make it a compelling prospect. Investors should monitor R R Kabel IPO closely as it offers exposure to India’s burgeoning electrical industry.

R R Kabel IPO Details

Here are few more details you need to know before investing in R R Kabel IPO –

R R Kabel IPO Issue Object

Thus R R Kabel has proposed diverse objectives for making the IPO offer and some of the objectives are:

• Repayment or prepayment, in full or in part, of borrowings availed by our Company from banks and financial institutions; and
• General corporate purposes

R R Kabel IPO – Basis of Offer Price

The issue price determine the company in consultation with the Lead manager on the basis of the following qualitative and quantitative factors.

Qualitative factors are:

• Scaled B2C business in the large and growing wires and cables industry;
• A diverse suite of products driven by our 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.

Quantitative factors are:

R R Kabel IPO Lead Managers

Here are the list of Lead managers –

• Axis Capital Limited
• Citigroup Global Markets India
• HSBC Securities and Capital
• JM Financial Limited

R R Kabel IPO Registrar to offer

Check out the details of the registrar here –

Link Intime India Private Limited
C 101, 1st Floor, 247 Park
L.B.S Marg Vikhroli (West),
Mumbai 400 083 Maharashtra, India
Tel: +91-022-810 811 4949
E-mail: rkabel.ipo@linkintime.co.in
Website: www.linkintime.co.in
Investor grievance Id:rrkabel.ipo@linkintime.co.in
Contact person: Shanti Gopalkrishnan
SEBI registration number: INR000004058

R R Kabel IPO – Other Details

• Statutory Auditor – B S R & Co. LLP, Chartered Accountant
• Legal Counsel to the Company – Cyril Amarchand Mangaldas
• Bankers to the Company – State Bank of India, HDFC Bank Limited, Yes Bank Limited etc

R R Kabel IPO Verdict by Stock Brokers

The profitability of the R R Kabel IPO depends on various factors. R R Kabel, a prominent player in India’s consumer electrical industry. It has shown significant growth in total assets and income, highlighting its expansion and investment strategies.

The company’s strong presence in wires and cables (W&C). And its foray into the fast-moving electrical goods (FMEG) segment position it well in the market.

However, profitability is subject to market conditions and investor sentiment. Market conditions, economic factors, geopolitical events, and industry dynamics will play a crucial role in the IPO’s performance. The company’s ability to manage liabilities and cash flow effectively is essential for financial stability.

Potential investors should conduct thorough research, assess risk tolerance, and consult experts before investing. While the IPO holds promise, profitability hinges on market forces and the company’s execution of growth strategies.

R R Kabel IPO – Conclusion

The R R Kabel IPO presents an attractive investment opportunity. However, its profitability hinges on market conditions, investor sentiment, and the company’s ability to navigate industry dynamics effectively.

While the financial indicators appear promising and the GMP suggests strong demand, potential investors should exercise caution, conduct thorough research, and seek expert advice.

It’s essential to monitor the IPO’s progress closely and assess it in the context of broader economic and market trends before making investment decisions.

While the IPO holds potential, its success will ultimately determine how well it aligns with the evolving landscape of the consumer electrical industry and the broader economy.

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R R Kabel IPO Review FAQs

Check out the FAQs on R R Kabel IPO –

What is the Issue Size of R R Kabel IPO?

The Company is making an initial public offer of 18,975,939 equity shares. They vividly portray the aspects of the issue in this article. You can check the stats on the fresh issue, Offer for sale, and net issue.

What is the Price band of R R Kabel IPO?

The price band for this particular IPO ranges between Rs 983 to Rs 1035. As far as the face value of the share is concerned, it is Rs.5 per share.

What is the R R Kabel IPO Open Date?

The opening and closing dates for this IPO have been updated. The IPO is set to open on September 13, 2023, while the closing date is set at September 15, 2023.

What is the R R Kabel IPO Allotment Date?

They also have the news regarding the respective allotment dates of this IPO. The basis of Allotment finalization is on September 21, 2023, refund initiation is on September 22, 2023, credit of shares is on September 25, 2023, and share listing date is on September 26, 2023.

What is the R R Kabel IPO Listing Date?

Shares of this company shall be listed in the exchanges on September 26, 2023. The date, when the listing would be done, is stagnant on September 26, 2023.

Who is the Registrar of R R Kabel IPO?

One of the reputed registrars is managing the issue of this IPO, i.e. Link Intime India Private Limited. Their website will help you regarding the further information you are on the lookout for.

Who is the Promoter of R R Kabel IPO?

Here are the promoters of Jana Small Finance Bank – TRIBHUVANPRASAD RAMESHWARLAL KABRA, SHREEGOPAL RAMESHWARLAL KABRA, MAHENDRA KUMAR RAMESHWARLAL KABRA, KIRTIDEVI SHREEGOPAL KABRA, TRIBHUVANPRASAD KABRA HUF, KABRA SHREEGOPAL RAMESHWARLAL HUF AND MAHENDRA KUMAR KABRA HUF. You can refer to the RHP for further information on the promoter. You will find the link to RHP in the article.

What is the GMP of R R Kabel IPO?

They have obtained the GMP of this IPO and it is Rs. NA. Further insights of the Kostak rate and subject to sauda or SS are also included in this report.

Is R R Kabel IPO Good for Investment?

They have further provided the financial status of the company in this article, from the past few years. You can refer to the same, and also check the line of operations they are into and then decide to invest in the IPO.

What is the PAT of R R Kabel Company?

They have the information of company financials, and according to that, they have the figures from the last few years to provide. PAT for the financial year 2023 in Million is 1,898.72, 2022 is 2,139.37, 2021 is 1,353.98. PAT from June 2023 is 743.48.

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