TPG Capital-backed wire and cable maker RR Kabel Ltd has filed for an initial public offering (IPO) on Sunday.
RR Kabel is planning to raise up to Rs225 crore through the IPO, according to its draft prospectus filed to market regulator Sebi. The offer comprises of a fresh issue of equity shares aggregating up to Rs225 crore and an offer for sale (OFS) of over 1.72 crore equity shares by promoters and other shareholders.
The company plans to use funds raised through the IPO to repay or prepay debt, in part or in full, from banks and financial institutions.
Among those selling shares in the OFS include Mahendrakumar Rameshwarlal Kabra, Hemant Mahendrakumar Kabra, Sumeet Mahendrakumar Kabra, Kabel Buildcon Solutions Private Ltd, and Ram Ratna Wires Ltd.
Private equity firm TPG Asia VII SF Pte Ltd holds a 20.99% stake in RR Kabel and will sell some of its stake in the IPO.
RR Kabel, part of RR Global Group, posted a net profit of Rs214 crore and revenue of Rs4,386 crore in FY22. For the nine months ended December 2022, the company reported a net profit of Rs125 crore and revenue of Rs4,083 crore.
Axis Capital Ltd, HSBC Securities and Capital Markets (India) Private Ltd, Citigroup Global Markets India Private Ltd, and JM Financial Ltd are the book-running lead managers for the IPO.
