SLSri Lotus Developers and Realty544469Routine SEBI update

Monitoring Agency Report: nil deviation from objects, some delay in IPO proceeds utilisation

CARE Ratings has given its Monitoring Agency Report on the company's IPO proceeds for the quarter ended September 30, 2026.

By ScoutQuest · Fri 16 Oct 2026, 4:33 PM IST · 3 min read

IPO Issue Size

Rs. 792 crore

Deviation from Objects of the Issue

Nil

Excess Spend on Permission and Approval Fees (Dhyan Project)

Rs.2.698 crore

Quarterly check on the IPO money

CARE Ratings Limited, acting as Monitoring Agency for the company's Initial Public Offer, has issued its report for the quarter ended September 30, 2026. The report compares what the company told investors it would do with the money against what has actually happened so far.

Issue size and monitoring

• The IPO was for an amount aggregating to Rs. 792 crore of equity shares.
• The Monitoring Agency's role is to track the use of these proceeds against the objects stated in the offer document.

What the report records

• Deviation from the objects: Nil, and the range of deviation is not applicable.
• Whether all utilisation is as per the disclosures in the Offer Document: No. The Monitoring Agency states there is a delay in utilisation of proceeds as compared to the prospectus.
• The company has spent an amount of Rs.2.698 crore excess towards permission and approval fees for the 'Dhyan Project'. However, the total amount spent on the object is within the proposed limit.
• No major deviation observed over the earlier monitoring agency report.
• The means of finance for the disclosed objects of the issue have not changed.
• On favourable or unfavourable events affecting the viability of the objects, the reply is No.

Approvals and registrations

As certified by the management, key approvals such as commencement certificate, intimation of Approval/Disapproval, Civil Aviation NOC and Provisional Fire NOC are in place for the project. Other approvals are to be procured as stages of work are done, and final approvals like occupation or completion certificate will be procured once the project is completed. RERA registrations have been obtained for the projects Amalfi, The Arcadian and Varun.

Where the money is meant to go

• Investment in subsidiaries Richfeel Real Estate Private Limited, Dhyan Projects Private Limited and Tryksha Real Estate Private Limited, for part-funding development and construction cost of ongoing projects Amalfi, The Arcadian and Varun: 550.000 (as per the Offer Document, in Rs. crore).
• General corporate purposes: 182.294.
• Issue expenses: 59.706.
• Total: 792.00.

Project-wise split

• Project Amalfi (Richfeel Real Estate Private Limited): 140.000 — land development right and estimated acquisition cost 8.000, construction cost 83.000, permission and approval fees 49.000.
• Project The Arcadian (Dhyan Projects Private Limited): 274.000 — land development right and estimated acquisition cost 12.000, construction cost 138.000, permission and approval fees 124.000.
• Project Varun (Tryksha Real Estate Private Limited): 136.000 — land development right and estimated acquisition cost 10.000, construction cost 62.000, permission and approval fees 64.000.

What a retail investor can take from this

A monitoring agency report is a periodic third-party check on whether the money raised in an IPO is being used for the purposes stated. The key point here is that there is no deviation from the objects, and the means of finance are unchanged. At the same time, the report records that spending has run slower than the timeline indicated in the prospectus, and that one project has seen an excess spend on permission and approval fees within its overall object limit. The report adds that it is not an audit and the Monitoring Agency does not independently verify the information or certifications it receives.

Nothing here is a view, opinion or recommendation of ScoutQuest, its parent, directors or employees. ScoutQuest is a technology company: this page was assembled automatically from public sources using artificial intelligence, and may contain errors or omissions. Confirm everything against the original source before you act on it. Any use of this page is at your own risk, and neither ScoutQuest nor its parent, directors or employees accepts liability for it.

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