Wires and cables manufacturer RR Kabel Ltd on Friday (September 8) said it has fixed a price band of Rs 983-1,035 per share for its Rs 180-crore initial public offering (IPO).

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The maiden public issue will open for subscription on September 13 and conclude on September 15, the company announced.

The IPO consists of a fresh issue of equity shares worth up to Rs 180 crore and an offer for sale (OFS) of up to 1.72 crore equity shares by promoters and other shareholders.

The individuals and entities participating in the OFS are Mahendrakumar Rameshwarlal Kabra, Hemant Mahendrakumar Kabra, Sumeet Mahendrakumar Kabra, Kabel Buildcon Solutions Pvt Ltd, and Ram Ratna Wires Ltd.

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Currently, private equity firm TPG Capital has a 21 percent ownership stake in RR Kabel and intends to divest a portion of its stake through the OFS.

The company has set aside shares worth Rs 10.8 crore for eligible employees, who can acquire them at a discounted rate of Rs 98 per share based on the final offer price.

Furthermore, the company intends to use Rs 136 crore of the net proceeds from the fresh issue to fully or partially repay the debt obtained from banks and financial institutions.

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Investors have the option to bid for a minimum of 14 equity shares and can increase their bids in multiples of 14 equity shares thereafter.

Axis Capital Ltd, Citigroup Global Markets India Pvt Ltd, HSBC Securities and Capital Markets (India) Pvt Ltd and JM Financial Ltd are the book-running lead managers to the issue.

The equity shares of the company will be listed on the BSE and the NSE.

(Edited by : Shoma Bhattacharjee)

First Published:Sept 8, 2023 5:50 PM IST