Aditya Birla Capital Limited has confirmed that there has been no deviation in the utilization of funds raised through its preferential issue for the quarter ended September 30, 2026. The Monitoring Agency, India Ratings & Research Private Limited, has issued a report affirming the consistent adherence to the stated objects of the issue, providing assurance to stakeholders regarding the proper deployment of capital.
Aditya Birla Capital Confirms No Deviation in Fund Utilization
Aditya Birla Capital Limited has officially announced that for the quarter ended September 30, 2026, there has been no deviation from the objects for which funds were raised through its recent preferential issue. This confirmation comes in line with the requirements of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018.
Monitoring Agency Report Affirms Compliance
The company has received and enclosed the Monitoring Agency Report from India Ratings & Research Private Limited. This report, prepared as per Schedule XI of the SEBI ICDR Regulations, validates that the proceeds from the preferential issue have been utilized in accordance with the disclosed objectives. The monitoring agency found no discrepancies in the deployment of funds during the specified quarter.
Details of Fund Utilization
The preferential issue, with a total size of INR 4,000 Crores, was intended for specific growth objectives. As of the quarter ending September 30, 2026, the utilization report indicates that 87.5% of the proceeds were allocated towards meeting growth objectives, including capital base augmentation, loan repayment, and funding for the lending business. The remaining 12.5% was designated for General Corporate Purposes, such as investments in subsidiaries and joint ventures.
Specifically, for the growth objectives (Item Head 1), an amount of INR 3,500.00 Crores was proposed. Of this, INR 2,993.14 Crores was utilized as at the beginning of the quarter, with an additional INR 506.86 Crores utilized during the quarter, bringing the total utilized to INR 3,500.00 Crores by the end of the quarter. This means the entire allocated amount for this purpose has been utilized.
For General Corporate Purposes (Item Head 2), INR 500.00 Crores was proposed. The report shows that INR 500.00 Crores was utilized as at the beginning of the quarter and remained at INR 500.00 Crores by the end of the quarter, indicating no further utilization during the quarter. This results in an unutilized amount of INR 1,006.86 Crores for General Corporate Purposes by the end of the quarter, with the total utilized amount for the quarter standing at INR 506.86 Crores.
A notable point from the report is that INR 506.86 Crores was used for the repayment of loans, including WCDL, Term Loan, and Commercial Papers. The report clarifies that the WCDL was availed on 25th June 2026, post the receipt of issue proceeds, and the company confirmed that this loan was used for onward lending.
No Deviation in Objects
The Monitoring Agency’s report explicitly states, “No deviation from the objects.” This is further supported by the management’s undertaking and the Statutory Auditor Certificate dated 27th October 2026. Consequently, there are no comments from the Monitoring Agency or the Board of Directors regarding deviations from the stated objects of the preferential issue.
Source: BSE
