Granules India532482Routine SEBI update

Monitoring Agency Report: no deviation from objects in preferential issue proceeds

Granules India has shared the Monitoring Agency Report from India Ratings & Research for the quarter ended September 30, 2026, on the use of money raised through its preferential issue.

By ScoutQuest · Mon 2 Nov 2026, 6:28 PM IST · 3 min read

Preferential Issue Size: INR 1,762.50 Crores
Amount Received During Quarter: INR 1,096.13 Crores (balance 75%, INR 438.75 per warrant, on conversion of ~2.5 crore warrants)
Warrants Pending Conversion: 17,094 warrants still to be converted

What the update is about

Granules India has submitted the Monitoring Agency Report prepared by India Ratings & Research Private Limited for the quarter ended September 30, 2026. The report covers how the money raised through the company's preferential issue is being used, compared with the purposes stated at the time of the issue. The report follows a Monitoring Agency Agreement dated 12th January 2026.

The main finding: no deviation

The report states: No deviation from the objects.
This is based on the management undertaking and the Statutory Auditor Certificate dated 27th October 2026 issued by S.R. Batliboi & Associates LLP, Chartered Accountants.
The range of deviation is shown as Not Applicable.
The report also answers that utilisation is as per the disclosures made to shareholders, that the means of finance for the objects has not changed, and that no unfavourable events affecting the viability of the objects have been reported.

Size and structure of the issue

Total issue size: INR 1,762.50 Crores.
~51.28 lakh equity shares of face value of Rs. 1/- each at INR 585 per equity share — 300.00 (INR in Crores).
2.5 crore convertible warrants, each convertible into one equity share of face value of Rs. 1/- each, at INR 585 per convertible warrant — 1,462.50 (INR in Crores).
Issue period: 10th February 2026 to 23rd February 2026.

How much money has actually come in

As on 30th September 2026, the position shown in the report is

Equity shares: ~51.28 lakh shares at INR 585, value 300.00 (INR in Crores) — fully received.
Convertible warrants: 2.5 crore warrants at INR 585, value 1,462.50 (INR in Crores).
Upfront amount received on warrants: INR 365.63 Crores, being 25% of the warrant value, i.e. INR 146.25 per warrant.
Amount received during the quarter: a further INR 1,096.13 Crores, being the balance 75% of the warrant value, i.e. INR 438.75 per warrant, received on conversion of ~2.5 crore warrants into equity shares.
Total received as on 30th September 2026: INR 1,761.75 Crores.

What is still pending

17,094 warrants remain to be converted.
For these, the balance 75% consideration of INR 438.75 per warrant will be received when the respective warrant holders choose to convert them into equity shares, within the 18-month tenure of the warrant.

What this means for a retail investor

This is a periodic monitoring disclosure. Its main content is that the money collected from the preferential issue has been used for the stated purposes so far, with no deviation flagged by the monitoring agency.
The report also sets out how much of the issue has been paid for: the equity share portion and most of the warrant portion have been received, and a small number of warrants (17,094) are still pending conversion.
The report notes that the monitoring agency does not perform an audit and does not independently verify the information and certificates it receives.

What to watch

Conversion of the remaining 17,094 warrants and receipt of the balance INR 438.75 per warrant.
The next quarterly monitoring agency report, which would track continued use of the proceeds against the stated objects.

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