Balrampur Chini Mills500038Routine SEBI update

Monitoring Agency Report on use of INR 450 Crores preferential issue proceeds for the September 2026 quarter

Balrampur Chini Mills has shared the Monitoring Agency Report by India Ratings & Research for the quarter ended 30th September 2026, on the use of money raised through its preferential issue.

By ScoutQuest · Wed 4 Nov 2026, 3:54 PM IST · 3 min read

Amount utilised till 30 Sept 2026: INR 321.36 Crores
Amount unutilised: INR 128.64 Crores
Deviation from objects of the issue: No deviation from the objects of the issue

What this update is

Balrampur Chini Mills has submitted the quarterly Monitoring Agency Report prepared by India Ratings & Research Private Limited on how the money raised through its preferential issue is being used, for the quarter ended 30th September 2026. The report was placed before the Audit Committee and the Board.

The issue

Type: preferential allotment of ~93.17 lakh equity shares of face value of Rs. 1 each at Rs. 483 per equity share.
Issue size: INR 450 Crores.
Issue period: 20th May 2026 to 3rd June 2026.

Where the money is meant to go

Purchase of plant and machinery for the Poly Lactic Acid (PLA) Project: INR 230.00 Crores.
Establishment of Gypsum Processing Plant: INR 110.00 Crores.
General Corporate Purposes: INR 110.00 Crores.
Total: INR 450.00 Crores.

Deviation from objects

The Monitoring Agency states there is no deviation from the objects of the issue. This is based on the management undertaking and the statutory auditor certificate, and the range of deviation is marked Not Applicable.

Spending so far (as at 30th September 2026)

Utilised at the start of the quarter: INR 170.74 Crores.
Utilised during the quarter: INR 150.62 Crores.
Utilised at the end of the quarter: INR 321.36 Crores.
Total unutilised: INR 128.64 Crores.

Object by object

PLA Project: INR 230.00 Crores proposed; INR 60.74 Crores used at the start of the quarter, INR 150.62 Crores during the quarter and INR 211.36 Crores at the end; INR 18.64 Crores unutilised.
Gypsum Processing Plant: INR 110.00 Crores proposed; no amount utilised during the quarter; INR 110.00 Crores unutilised.
General Corporate Purposes: INR 110.00 Crores proposed; fully utilised at INR 110.00 Crores; nil unutilised. Nil utilisation towards GCP during the quarter, as this head was already spent.

Where the unutilised money is parked

Fixed deposit with Axis Bank: INR 110.00 Crores, maturity 04-07-27, earnings INR 0.59 Crores, return 7.30%, market value INR 110.59 Crores.
SBI Overnight Fund Direct Growth: INR 18.64 Crores invested, earnings INR 0.32 Crores, market value INR 18.96 Crores.
Total market value: INR 128.64 Crores.

The company has opened a separate monitoring bank account, and proceeds move from it to the company's other bank accounts for actual use.

Completion timelines

PLA Project: on or before 31st December 2026, marked on-going.
Gypsum Processing Plant: on or before 31st December 2027, marked on-going.
General Corporate Purposes: on or before 31st December 2026, marked completed.

Other checks in the report

Utilisation is stated to be as per the disclosures in the Offer Document.
The means of finance for the disclosed objects has not changed.
No major deviation is reported over earlier monitoring agency reports.
Government and statutory approvals related to the objects are stated to be obtained.
No unfavourable events affecting the viability of the objects are reported.

What a retail investor can take away

This is a routine quarterly progress update on money already raised. The two heads to watch are the PLA Project, where INR 18.64 Crores of the INR 230.00 Crores is yet to be spent, and the Gypsum Processing Plant, where the full INR 110.00 Crores is yet to be used. The General Corporate Purposes head is fully spent and the PLA and GCP completion dates fall on or before 31st December 2026.

Also from Balrampur Chini Mills