RR Kabel plans to file draft prospectus papers with market regulator Sebi next May to launch its initial public offering (IPO). The wire, cable and Fast Moving Electrical Goods (FMEG) maker plans to go public between October and November 2024. RR Kabel expects sales growth of 25% €6,000 crore by the end of current fiscal year FY23.
RR Kabel is part of RR Global, an electrical conglomerate with a presence in over 90 countries worldwide. The company offers the widest selection of high-quality wire and cable for various residential, commercial, industrial and infrastructure uses.
MD & Group President Shreegopal Kabra told PTI that RR Kabel plans to go public in the third quarter of 2023-24. He added that they are planning an IPO in October-November 2024, subject to market conditions, for which they plan to file preliminary papers with Sebi in the first half of May 2023.
Regarding the business, Kabra said they expect the current fiscal year to be around €6,000 crore, growth of 25%. In fiscal year 22, the group’s turnover amounted to approx €4,800 crores. They also aimed to almost double their sales €11,000 crore over the next three years to FY26.
He also revealed that the group plans to get in €1,000 crore as a capital expenditure over the next three years to improve its capacity.
In terms of segments, RR Kabel sees the FMEG segment as a growth driver alongside the traditional business with wires and cables. The company is also expanding its presence by entering new markets. He added that its FMEG business would contribute 13-14% in the current fiscal year, with the remaining growth coming from the wire and cable business.
In April of this year, RR Kabel acquired Luminous’s home electrics business from Schneider Electric. This acquisition is expected to further strengthen RR Kabel’s electrical appliance business, which has a diversified portfolio of fans, lights and home appliances.
Kabra said in the April press release, “As a major player and innovation leader in the wire and cable industry, we believe the acquisition will expand our leading position in India’s fast-growing home electrical industry.”
Get all company news and updates on Live Mint. Download the Mint News app for daily market updates and live economic news. More less
Comments are closed.