RR Kabel Shares Soar on Market Debut, Closing 16% Higher

20 Sep 2023 , 07:41 PM

Despite a significant downturn in the equity markets on September 20, RR Kabel shares had an impressive debut, closing the day with a remarkable gain of nearly 16%. 

The stock opened strongly, starting at a 14% higher price of Rs 1,180, as anticipated. While it briefly retreated from its peak during morning trade, touching an intraday low of Rs 1,136.80 on the NSE, it managed to recover these losses as the day progressed. In the final hours of trading, RR Kabel shares reached their highest point of the day at Rs 1,212.70.

By the end of the trading session, the stock settled at Rs 1,198, marking an impressive 15.75% increase over its issue price of Rs 1,035. The trading volume amounted to 1.5 crore equity shares. On the BSE, the closing price was Rs 1,196.65, up 15.62%, with a trading volume of 8.84 lakh shares.

During the public issue, which took place from September 13 to 15, the Gujarat-based company successfully raised Rs 1,964.01 crore. The offering had a price band set at Rs 983-1,035 per share.

RR Kabel, backed by the global private equity firm TPG, operates in two primary segments. The first is wires and cables, which accounted for 71% of its revenue in the quarter ending June FY24. The second segment is FMEG (fast moving electrical goods), which includes products such as fans, lights, switches, and appliances.