Prime Cable Industries to Go Public, IPO Open
Prime Cable Industries Ltd. (also known as Primecab) is going public with its Rs. 40.01 crore Initial Public Offering (IPO), which opened on 22nd September, and will remain open till 24th September 2025. Prime Cable Industries is expected to be listed on stock exchanges on 29th September 2025.
Prime Cable Industries’ IPO comprises 42 lakh newly issued shares aggregating to Rs. 35.02 crore, and an offer for sale of 6 lakh existing shares which amount to a total of Rs. 4.99 crore.
About Prime Cable Industries
Prime Cable Industries was established in 1997, and the company’s headquarters is located in Narela, Delhi. The company’s portfolio includes LT control cables, power cables, aerial bunched cables, communication cables, and house wires.
The company has two manufacturing units, one at Narela and the second in Rajasthan’s Neemrana.
The company reported a revenue of Rs. 141.10 crore for FY25 with a Profit After Tax (PAT) of Rs. 7.50 crore.
Proceeds to Fund CapEx, Debt Payment
Prime Cable Industries will use the net proceeds of its IPO to fund its expansion operations, for debt payment, and towards fulfiling its working capital requirements.
However, the company will only receive proceeds from the fresh issue component of the IPO. Proceeds from the offer for sale of existing shares will be transferred to the selling promoter, that is Mr. Purshotam Singla.
New Plant Planned in Alwar for MV Cables & Covered Conductors
Prime Cable Industries is planning to set up a new plant in Alwar, Rajasthan for manufacturing MV power cables, covered conductors, and aerial bunched cables. The company anticipates the total cost of setting up this plant as Rs. 24.93 crore, and this plant is expected to be commissioned by October, 2026.
Out of the net proceeds of the IPO, Rs. 14.46 crore will be used by the company to expand its manufacturing by setting up the Alwar greenfield plant. Of this, Rs. 11.56 crore will be used in FY26 whereas Rs. 2.89 crore will be utilised in FY27.
Usage of Remaining Net Proceeds of the IPO
Primecab will use Rs. 4.48 crore towards debt repayment from its IPO proceeds during FY26, and a sum of Rs. 7.05 crore will be utilised in FY26 towards the company’s working capital requirements. Finally, not more than 15% of the IPO proceeds (or Rs. 10 crore, whichever is lower) will be used towards general corporate purposes.
Shares Offered in Rs. 78-83 Price Band, Lot Size Set at 1,600 Shares
Investors are being offered Primecab’s shares in the Rs. 78 to Rs. 83 price band. Each of these shares has a face value of Rs. 5. Lot size for this IPO has been defined as 1,600 shares, which translates to an investment of Rs. 1,32,800.
Allocation of Shares by Investor Category
Out of the total shares offered in the IPO, Qualified Institutional Buyers (QIBs) have been offered 47.46%, which includes anchor investors’ share of 28.48% of the total issue. Non-Institutional Buyers (NIIs) are open to subscribe to 14.27% of the issue, whereas retail investors are allotted 33.26% of the total shares in this IPO. The remaining 5.01% of the shares are reserved for Alacrity Securities Ltd., which is the market maker for this issue.