RR Kabel approved a slump-sale acquisition of U M Cables’ optical fibre and related cables business from Usha Martin’s subsidiary for a lump-sum cash consideration of ₹77 crore, giving RR Kabel ready manufacturing assets, approvals and an operating platform to expand into communication cables.
RR Kabel will acquire the optical fibre cable business of U M Cables (a Usha Martin subsidiary) via a slump sale for ₹77 crore.
The deal gives RR Kabel ready manufacturing assets, existing approvals, and an operational track record—speeding entry into the optical fibre cable (OFC) segment.
Company leadership views the acquisition as a faster route to scale in communication cables than building OFC capabilities organically.
# What happened On 28 September 2026 R R Kabel Limited's board approved the acquisition of the optical fibre cable business carried out by U M Cables Limited, a wholly owned subsidiary of Usha Martin Limited. The transaction is structured as a slump sale and will be completed for a lump-sum cash consideration of ₹77 crore.
# Why the deal matters
Rajesh Kabra, Joint Managing Director of R R Kabel, described the move as a strategic step into communication infrastructure and said the acquired platform will accelerate entry into OFC while allowing RR Kabel to apply its scale, manufacturing capabilities, market reach and customer relationships to grow the business.
# What RR Kabel gains
These elements reduce the timeline and capital intensity RR Kabel would otherwise face if it built OFC capabilities organically.
# How this fits RR Kabel's strategy RR Kabel already operates in the cables sector. The acquired OFC business broadens its product set into communication cables, allowing the company to offer a wider range of solutions for communication infrastructure applications. Management framed the deal as complementary to the existing portfolio and a route to unlock the next phase of growth for the acquired unit.
# Market context (as presented in the announcement)
# Immediate implications
# What remains to be seen
# Bottom line RR Kabel has bought an established optical fibre cable business for ₹77 crore to enter the OFC segment quickly. The deal transfers manufacturing assets, approvals and operational history to RR Kabel and positions the company to expand its communications-cable offerings using its existing scale and distribution.
“Importantly, we are acquiring an established operating platform with ready manufacturing assets, existing approvals and a demonstrated track record. This gives us a strong foundation in OFC while significantly shortening the time required to build these capabilities organically,” said Rajesh Kabra, joint managing dire
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