KRN Heat Exchanger and Refrigeration Limited has submitted its Monitoring Agency Report for the quarter ended June 30, 2026, detailing the utilization of funds raised through its Qualified Institutional Placement (QIP) issue. The report, issued by Crisil Ratings Limited, confirms that proceeds were used for repayment of borrowings, investment in the subsidiary KRN HVAC Private Limited for working capital, and general corporate purposes as per disclosures.
KRN Heat Exchanger Reports QIP Fund Utilization
KRN Heat Exchanger and Refrigeration Limited has officially filed its Monitoring Agency Report for the quarter concluding on June 30, 2026. This report, mandated under SEBI regulations, outlines the deployment of funds raised via the company’s Qualified Institutional Placement (QIP) issue. The monitoring was conducted by Crisil Ratings Limited, the appointed Monitoring Agency.
Key Findings from the Report
The report indicates that the proceeds from the QIP were utilized across several key areas:
- Repayment of Borrowings: An amount of Rs 3,000.00 lakhs was utilized towards the repayment and/or pre-payment of certain outstanding borrowings availed by the Company.
- Investment in Subsidiary: A significant sum of Rs 23,525.75 lakhs was invested in its material subsidiary, KRN HVAC Products Private Limited, to fund its working capital requirements. As of June 30, 2026, the subsidiary had utilized Rs 9,207.98 lakhs of these funds towards vendor payments for raw materials, with the remaining balance invested in fixed deposits and bonds.
- General Corporate Purposes: An amount of Rs 7,653.73 lakhs was allocated for general corporate purposes, including meeting expenses incurred in the ordinary course of business, advance tax payments, employee salaries, and vendor payments for raw materials.
The total net proceeds monitored amounted to Rs 34,179.48 lakhs. The report confirms that all utilization was in line with the disclosures made in the Offer Document, and no material deviations were observed. The Board of Directors has approved the utilization of General Corporate Purposes as per the disclosed item heads.
Monitoring Agency Confirmation
Crisil Ratings Limited has declared that the utilization of the issue proceeds is in relation to the objects of the issue, based on information provided by the Issuer and other believed-to-be accurate sources. They confirmed that the company has not encountered any major deviations over earlier monitoring reports and all relevant government/statutory approvals related to the project’s objectives have been obtained.
Source: BSE
