loader2
Login Open ICICI 3-in-1 Account
  • Text Size
  • Text to Speech
  • Color Contrast
  • Pause Animations

Open ICICI
3-in-1 Account

Manage your Savings, Demat and Trading Account conveniently at one place

+91

BLOG

RR Kabel has approved the acquisition of the business undertaking of U M Cables Ltd

ICICIdirect Research 25 Sep 2026 DISCLAIMER

News: RR Kabel has approved the acquisition of the business undertaking of U M Cables Ltd, a wholly owned subsidiary of Usha Martin Ltd, through a slump sale on a going-concern basis for ₹77 crore, subject to working capital adjustments and customary conditions. The acquired business manufactures and sells optical fibre and related cables and reported FY26 turnover of ₹78.2 crore. The transaction is expected to be completed within 60 days of signing the Business Transfer Agreement.

View: The acquisition is strategically positive for RR Kabel as it marks its entry into the optical fibre cable segment and expands its presence in the communication cable industry. The acquired business brings an established manufacturing platform and a meaningful revenue base, with FY26 turnover of ~₹78 crore. The move complements RR Kabel’s existing wires and cables portfolio and provides an opportunity to diversify into the rapidly expanding communication infrastructure market. At a purchase consideration of ₹77 crore, the transaction provides RR Kabel with an established business platform rather than building capacity organically, potentially enabling faster scale-up and creating additional growth opportunities over the medium term.

Impact: Positive

Download
ICICI Direct app

Invest, Track, and Manage your Portfolio Anytime, Anywhere

Download
ICICI Direct app

Invest, Track, and Manage your Portfolio Anytime, Anywhere