JD Cables shares showed a 5% listing gain, reaching ₹160 upon entry on BSE SME, but quickly fell to the lower circuit of ₹152. Out of the ₹84.41 crore raised from the IPO, ₹26 crore will be used to repay debt, ₹45 crore for working capital, and the remainder for general corporate purposes.
JD Cables IPO Listing: Shares of JD Cables, a company in the power transmission and distribution sector, opened at ₹160 on BSE SME, giving investors a 5.26% listing gain, but quickly fell to the lower circuit of ₹152. New shares worth ₹84.41 crore have been issued under the IPO, of which ₹26 crore will be used to repay debt, ₹45 crore for working capital, and the remaining funds for general corporate purposes.
First Day of Listing Overview
JD Cables shares made their initial entry on BSE SME at ₹160. The shares were issued at a price of ₹152 during the IPO, so investors received a 5.26 percent listing gain in early trading. However, this upward momentum of the shares did not last long. During market trading, the shares plummeted to the lower circuit of ₹152. This means that IPO investors neither made a profit nor incurred a loss.
Utilization of Funds Raised from IPO
JD Cables raised a total of ₹95.99 crore through its IPO. The IPO subscription process ran from September 18 to 22. It received an overwhelming response from investors, with the IPO being oversubscribed 127.78 times. The portion reserved for Qualified Institutional Buyers (QIB) was subscribed 125.44 times, the Non-Institutional Investors (NII) portion 179.28 times, and the retail investors' portion 106.89 times.
New shares worth ₹84.41 crore have been issued under the IPO. Additionally, 7,61,600 shares with a face value of ₹10 were sold under the Offer for Sale (OFS). The proceeds from the Offer for Sale were received by the selling shareholders. Out of the funds raised from the new shares, ₹26 crore will be utilized to reduce debt, ₹45 crore for working capital requirements, and the remaining funds for other corporate purposes.
J.D. Cables' Genesis
JD Cables was established in 2015. The company manufactures high-quality cables and conductors for the power transmission and distribution sector. Its product portfolio includes power cables, control cables, aerial bunched cables, single-core service wires, along with all-aluminum conductors, all-aluminum alloy conductors, and aluminum conductor steel reinforced.
The company has two manufacturing units located in Howrah and Hooghly. Its products are primarily used in the power and distribution sectors.
Financial Performance
JD Cables' financial performance has consistently strengthened over the past few years. The company's net profit was ₹32 lakh in FY2023, which increased to ₹4.58 crore in FY2024 and further to ₹22.15 crore in FY2025. During this period, the company's total income grew at a compound annual growth rate of 147 percent, reaching ₹250.70 crore.
However, during this period, the company's debt has also continuously increased. Debt stood at ₹3.84 crore at the end of FY2023, rising to ₹17.77 crore at the end of FY2024, and reaching ₹45.91 crore at the end of FY2025. Meanwhile, reserves and surplus have also grown. They were ₹1.15 crore in FY2023, increasing to ₹17.77 crore in FY2024, and reaching ₹45.91 crore in FY2025.
Investor Enthusiasm Witnessed
The listing of shares immediately after the IPO generated enthusiasm among investors. The initial 5 percent surge provided investors with an opportunity for profit, but the joy diminished somewhat after the shares hit the lower circuit. Investors are now observing the direction in which the shares will move in future trading.
