Shares of R R Kabel became the first T+2 listing in the Indian primary markets as the shares began trading three days after their IPO closed for subscription.

Share Market Live

NSE

The stock of the wires and cables company began trading at Rs 1,180, which is a 14 percent premium to its IPO price of Rs 1,035.

R R Kabel became the 24th listing of 2023 and most of the IPOs that have listed so far this year, have delivered positive returns to shareholders. The company's three-day IPO worth Rs 1,964 crore was subscribed 18.7 times when bidding closed.

The portion reserved for institutional investors was subscribed 52.26 times, while those for non-institutional investors received 13.23 times more bids compared to the shares on offer. The retail portion of the issue was subscribed only 2.1 times.

Proceeds from the fresh issue would be used towards repayment or prepayment, in full or in part, of borrowings availed by the company from banks and financial institutions and general corporate purposes. The fresh issue portion of the IPO was reduced to Rs 180 crore from Rs 225 crore earlier.

RR Kabel is one of the leading companies in the Indian consumer electrical industry comprising wires and cables and fast-moving electrical goods (FMEG), with an operating history of over 20 years in India.

The company is the fifth largest player in the wires and cables market in India, representing ~ 5 percent market share by value as of March 31, 2023. RR Kabel is the fastest growing consumer electrical company among their peers in India, growing at a CAGR of 43.4 percent between fiscal 2021 and fiscal 2023.

First Published:Sept 20, 2023 10:02 AM IST