Quint Digital539515Routine SEBI update

Monitoring agency report: NIL deviation from rights issue objects; proceeds moved to current accounts

CARE Ratings' Monitoring Agency Report for the quarter ended September 30, 2026, on the rights issue of Rs. 90.88 crore.

By ScoutQuest · Mon 19 Oct 2026, 10:29 PM IST · 3 min read

Rs. 90.88 croreRights issue amount aggregating

Issue size - compulsorily convertible preference sharesRs. 82.61 crore

Issue size - warrantsRs. 8.27 crore

Rights issue amount aggregating Rs. 90.88 crore: Issue size - compulsorily convertible preference shares Rs. 82.61 crore, Issue size - warrants Rs. 8.27 crore.

Rights Issue Size: Rs. 90.88 crore
Deviation from Objects of the Issue: NIL
Reporting Period: quarter ended September 30, 2026

What the update is

Quint Digital Ltd has disclosed the Monitoring Agency Report issued by CARE Ratings Limited for the quarter ended September 30, 2026, in relation to its rights issue. The report was reviewed and taken on record by the Board of Directors and the Audit Committee. A monitoring agency is appointed to track whether money raised in an issue is used for the purposes stated.

Issue size and structure

Total rights issue amount: Rs. 90.88 crore.
Compulsorily convertible preference shares: issue size Rs. 82.61 crore, issue period 60 months from the date of allotment, i.e. September 11, 2026.
Warrants: issue size Rs. 8.27 crore, issue period 18 months from the date of allotment, i.e. September 11, 2026.
Promoters named in the report: Ritu Kapur and Raghav Bahl. Industry: Media and Entertainment.

What the agency reports on the use of money

Deviation from the objects of the issue: NIL; range of deviation not applicable.
Whether all utilisation is as per the disclosures in the Offer Document: Yes.
No material deviation from the expenditure disclosed in the Offer Document, so the question of shareholder approval does not arise.
The means of finance for the disclosed objects have not changed.
No major deviation observed over earlier monitoring agency reports.
As per the management certificate, all requisite government and statutory approvals related to the objects have been obtained.
No favourable or unfavourable events affecting the viability of the objects, as per the report.
Technical assistance or collaboration is not required as per the objects of the issue.

The two points worth noting

During Q2FY27 the company transferred the entire proceeds of the issue from the monitoring account to its current accounts. Repayment of an unsecured loan availed from RB Diversified Private Limited, GCP and issue expenses were then met through utilisation from these current accounts.
The agency writes that because the transactions were incurred from the current account, there has been comingling of funds, and it has relied on the management certificate and a chartered accountant certificate for these transactions. It adds that transactions were confirmed through bank statements, invoices and other supporting documents.

Basis of the report

The agency states it does not perform an audit and does not independently verify the information or certificates it receives. The sections titled Comments of the Board of Directors are filled in by the company after the agency submits its report and are not reviewed by the agency.

Other information in the report

The report also records that Quintmillion Media Ltd, a subsidiary of the company, invested in Quintype Inc., a Delaware Corporation, USA, by way of CCPS.

How to read it

A nil deviation, unchanged means of finance and utilisation stated to be in line with the Offer Document indicate the money was applied to the stated objects. At the same time, the movement of the whole corpus out of the monitoring account into current accounts, and the comingling of funds that the agency itself flags, rests on management and chartered accountant certification rather than independent verification.

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