On Thursday, private equity firm TPG Asia sold its entire stake in wire and cable manufacturer RR Kabel for ₹958 crore through block deals, according to exchange data.
TPG Asia sold around 5% stake, or just over 56 lakh shares, at approximately ₹1,701 per share. Prominent buyers included Edelweiss MF, Tata MF, Goldman Sachs, Citigroup, Morgan Stanley, ICICI Pru MF, Blackstone Aqua, Reliance Nippon Life, and HDFC Standard Life.
TPG Asia initially acquired a 21% stake in RR Kabel five years before its IPO in late 2023. Since the IPO, TPG Asia has gradually reduced its stake.
RR Kabel debuted on the stock market in September last year with a 14% premium over its issue price. Since then, the stock has delivered about 44% returns to investors. The company is a major player in India’s consumer electrical industry, specializing in wires, cables, and fast-moving electrical goods (FMEG), with over 20 years of experience in India.
From FY21 to FY23, RR Kabel achieved industry-leading revenue growth of 43%, thanks to increased market share, new product launches, and strong relationships with electricians. The company also saw its export revenue double in the past two fiscal years.
In FY24, RR Kabel’s revenue grew by 19% compared to FY23, driven by expanded distribution, e-commerce growth, and new product launches. The brand also transitioned from Luminous to RR Signature. Additionally, gross margins improved due to better product mix and procurement efficiencies.
On Thursday, RR Kabel shares closed 0.3% lower at ₹1,718.8 on the NSE.
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