Orient Cables IPO Launch
Orient Cables launches its ₹552 crore initial public offering with price band set at ₹258 to ₹272.
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Key Points
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Orient Cables serves two of India’s three largest telecom companies by revenue, while its top-10 customer relationships have averaged more than nine years. Retained top-50 customers accounted for 93.92% of operating revenue in fiscal 2026, highlighting both customer loyalty and concentration.
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The IPO was reduced from an earlier proposed ₹700 crore issue to ₹552 crore. The entire ₹148 crore reduction came from the offer-for-sale portion, which fell from ₹380 crore to ₹232 crore, while the fresh issue remained ₹320 crore.
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At the upper end of the price band, Orient Cables is seeking a valuation of about ₹3,095.3 crore. The IPO’s minimum bid is 55 shares, requiring a minimum retail investment of ₹14,960; the anchor book is scheduled to open on September 24.
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Of the net fresh-issue proceeds, ₹91.5 crore is earmarked for machinery, equipment and civil works, while ₹155.5 crore is planned for debt reduction against total borrowings of ₹258.4 crore as of June 2026; the balance is intended for general corporate purposes.
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Despite the company’s strong revenue growth, fiscal 2026 profit increased only 0.5% year on year to ₹53.6 crore from ₹53.3 crore, indicating that earnings growth lagged the expansion in sales.
Orient Cables, a leading manufacturer of networking cables and passive equipment in India, launched a ₹552 crore IPO with shares priced at ₹258–272, according to Moneycontrol. The public offering comprises ₹320 crore in fresh shares and ₹232 crore from existing shareholders selling their stakes. Subscription opens September 25 and closes September 29, with trading expected to begin October 5.
The company controls 22.9% of India's networking-cables market and serves major telecom operators, data centers, and renewable energy firms, Business Standard reported. At the upper price band, Orient Cables seeks a valuation of ₹3,095.3 crore. Fresh-issue proceeds will fund manufacturing equipment, facility upgrades, and debt repayment totaling ₹155.5 crore against current borrowings of ₹258.4 crore.
Strong Market Position Amid Telecom Boom
Orient Cables ranks among India's top four networking cable players, serving two of the nation's three largest telecom companies by revenue. Business Standard noted the firm benefits from India's digital infrastructure expansion. The company maintains deep customer relationships, with top-50 clients accounting for 93.92% of operating revenue in fiscal 2026 and averaging over nine years of business together.
The company's installed cable capacity reaches 895,776 kilometers. Revenue surged from ₹657.77 crore in fiscal 2024 to ₹1,171.65 crore in fiscal 2026, demonstrating rapid growth in a sector fueled by 5G rollouts, data center expansion, and renewable energy infrastructure development across India.
IPO Size Cut As Fresh Issue Remains Stable
Orient Cables reduced its original ₹700 crore IPO proposal to ₹552 crore. The entire ₹148 crore reduction came from the offer-for-sale component, which dropped from ₹380 crore to ₹232 crore. The fresh-issue portion stayed fixed at ₹320 crore, signaling the company's commitment to capital raising for growth and debt management.
HDFC Sky reported that Orient Cables raised ₹165.6 crore from 20 anchor investors at the upper price band of ₹272 per share ahead of the public subscription. Retail investors must bid a minimum of 55 shares, requiring ₹14,960 at the lower end. The anchor book opened on September 24, one day before the main IPO subscription window.
Profit Growth Lags Behind Revenue Expansion
While Orient Cables' revenue nearly doubled in two years, profit margins tightened significantly. Net profit grew just 0.5% year-on-year to ₹53.6 crore in fiscal 2026 from ₹53.3 crore in fiscal 2025, indicating rising costs offset sales gains. Operating cash flow weakened and turned negative in recent periods, raising questions about operational efficiency.
The company plans to allocate ₹91.5 crore of fresh-issue proceeds toward machinery, equipment, and facility construction. An additional ₹155.5 crore targets debt reduction, helping lower the current debt burden of ₹258.4 crore as of June 2026. The remaining capital supports general corporate purposes and working capital needs.
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