 "IPO")
Wires and cables manufacturer R R Kabel, which concluded its Initial Public Offering (IPO) on Friday, is set to list on Wednesday --becoming the first company to debut on Dalal Street within two days of issue closing.
While Ratnaveer Precision Engineering was the first company to list under the T+3 regime, R R Kabel will become the first company to list in the T+2 timeline -- the second working day after the issue closing on September 15.
Capital markets regulator Sebi in August halved the timeline for listing of shares on stock exchanges after the closure of IPOs to three days (T+3) from six days (T+6).
The new listing timeframe will be voluntary for all public issues opening on or after September 1 and mandatory for all issues after December 1, 2023.
The reduction in timelines for listing and trading of shares will benefit both issuers as well as investors.
Issuers will have faster access to the capital raised, thereby enhancing the ease of doing business while the investors will have the opportunity to have early credit and liquidity for their investment.
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"Trading members of the exchange are hereby informed that effective from Wednesday, September 20, the equity shares of R R Kabel Ltd shall be listed and admitted to dealings on the exchange in the list of 'B' Group of Securities," according to a circular issued by the BSE.
R R Kabel's IPO comprised a fresh issue size of Rs 180 crore and an offer for sale segment of up to 1.72 crore equity shares.
The Rs 1,964-crore issue of R R Kabel was subscribed 18.69 times. The issue, with a price band of Rs 983-1,035 per share, was opened for subscription during September 13-15.
The category for Qualified Institutional Buyers (QIBs) got subscribed 52.26 times. The quota for non-institutional investors attracted 13.23 times subscriptions while the portion for retail individual investors was subscribed 2.13 times.
R R Kabel, a part of R R Global Group, proposed to utilise Rs 136 crore of the net proceeds from the fresh issue to pare down debt.
The TPG-backed firm runs five manufacturing units -- one cable and wire unit each at Waghodia in Gujarat and at Silvassa in Dadra and Nagar Haveli, besides a commercial lighting plant in Bengaluru.
Also, it has a fast-moving electrical goods unit at Roorkee in Uttarakhand and another at Gagret in Himachal Pradesh. A total of 88 per cent of its revenue comes from cables and wires.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
