Orient Cables (India) on Tuesday announced a price band of Rs. 258-272 per share for its Rs. 5.52 bn initial public offering (IPO). The issue will open for public subscription on September 25 and close on September 29, according to the company’s public announcement.

The IPO comprises a fresh issue of equity shares worth up to Rs. 3.2 bn and an Offer for Sale (OFS) component aggregating up to Rs. 2.32 bn. The company is scheduled to make its stock market debut on October 5.

Proceeds from the fresh issue will be used for capital expenditure, including the purchase of machinery and equipment and the execution of civil works at the company’s manufacturing facilities. The funds will also be used for the repayment or partial prepayment of certain borrowings, with a portion allocated for general corporate purposes.

Orient Cables had earlier filed preliminary papers with the Securities and Exchange Board of India (Sebi) to raise Rs. 7 bn through an IPO. That proposed issue comprised a fresh issue of Rs. 3.2 bn and an OFS of Rs. 3.8 bn. The revised issue size is lower by Rs. 1.48 bn, with the entire reduction coming from the OFS component.

The company manufactures networking cables and passive networking equipment for industries including broadband, telecommunications, data centres, renewable energy and smart building automation. Its product portfolio is divided into networking cables and solutions; specialty power and optical fibre cables and solutions; and other allied products.

JM Financial and IIFL Capital Services are the book-running lead managers for the issue, while KFin Technologies is the registrar. The proposed offering will provide Orient Cables with funds for manufacturing capacity and balance-sheet management while allowing existing shareholders to sell part of their holdings.