R R Kabel Ltd. announces an acquisition

The agreed cash consideration is Rs 77 Crores, subject to working-capital adjustments under the BTA.^{[1] [2]}

Against U M Cables’ FY26 turnover of Rs 78.19 Crores—the closest disclosed trailing-12-month revenue figure—the implied valuation is:

• Revenue multiple: 0.98x, derived as Rs 77 Crores / Rs 78.19 Crores.^{[1] [3]}
• EBITDA multiple: Not calculable. The BTA-related disclosure cited here does not report the target’s trailing-12-month EBITDA, so no EBITDA valuation multiple can be established.

Thus, the headline consideration is approximately one year of the target’s recent revenue, but the earnings-based valuation remains undisclosed. The final cash paid could differ from Rs 77 Crores because of the stipulated working-capital adjustment.

The acquisition is disclosed as a going-concern business transfer, but the cited filing does not identify a specific plant capacity, land parcel, or product certifications being acquired. The regulatory intimation only confirms that R R Kabel is buying U M Cables’ business undertaking through a slump sale under the Business Transfer Agreement. ^[4]

What is identified

• Product scope: U M Cables is described as manufacturing and selling optical-fibre and related telecom cables. This gives R R Kabel an entry into communication cables adjacent to, but distinct from, its existing electrical wires-and-cables portfolio. ^[5]
• Broader product references: U M Cables’ business is also described as including optical-fibre cables, jelly-filled telecommunication cables and fibre-reinforced plastic rods. ^[6]
• Land and plant assets: No specific land area, site, plant location, machinery list or installed manufacturing capacity is stated in the acquisition disclosure. Therefore, it cannot be established from the cited material whether land is transferred as part of the undertaking.
• Certifications: No product, technology or regulatory certifications are identified.
• Capacity utilization or physical output: No utilization percentage, installed capacity, production volume or throughput is reported for the acquired unit. The closest disclosed operating scale is FY26 turnover of Rs 78.19 Crores; this is revenue, not physical output or capacity utilization. ^[6]

Implication: The strategic complement is currently evidenced at the product and capability level—optical-fibre and telecom cables—not through disclosed incremental capacity or certified product platforms. The acquisition’s operational contribution cannot be quantified from the stated disclosures without plant capacity, utilization and asset-level details.

The available BTA intimation does not reproduce the specific Conditions Precedent or the long-stop date. It confirms that R R Kabel, U M Cables and Usha Martin executed the Business Transfer Agreement on 25 September 2026 for the acquisition through a slump sale on a going-concern basis, and refers to “relevant disclosures” made to the stock exchanges on 24 September 2026. ^[4]

Accordingly:

• Conditions Precedent: Not specified in the cited 25 September filing.
• Long-stop date: Not specified in the cited filing.
• Relevant document: The 24 September 2026 disclosure referenced in the filing would need to be examined to identify the definitive CP list and completion deadline.