TPG Asia likely to sell entire 5% stake worth Rs 1,000 crore in RR Kabel via block deals

Sources added that IIFL Securities is likely broker to the deal.

US-based private equity firm TPG Asia VII SF Pte Ltd is likely to sell its entire 5 percent stake in wire and cable manufacturer RR Kabel via block deals, sources told CNBC Awaaz on May 29.

Via the block deals, TPG looks to sell 56.33 lakh shares worth Rs 1,000 crore in the company, which is likely at a 4-5 percent discount. Shares of RR Kabel closed nearly 5 percent lower at Rs 1,718.25 apiece on BSE today.

Sources added that IIFL Securities is likely broker to the deal.

TPG had acquired a 21 percent stake in RR Kabel at an average acquisition price of Rs 270.08 per share in September 2018. In September 2023,  the US-based private equity investor cut its stake in the company from 21 percent to just 6 percent, generating nearly four times its original capital.

Back in September, shares of RR Kabel Ltd listed on the bourses at a premium. On the NSE, RR Kabel share price was had listed at Rs 1,180 per share, 14 percent higher than the issue price of Rs 1,035, and on the BSE, RR Kabel share price was listed at Rs 1,179 per share.

RR Kabel net profit rose 20.6 percent year-on-year to Rs 78.72 crore in the quarter-ended March 2024, according to an exchange filing on May 28.