PG Electroplast Limited has submitted the Monitoring Agency Report for the quarter ended December 31, 2025, regarding the utilization of proceeds from its Qualified Institutional Placement (QIP). The report confirms that the net proceeds of ₹1,477.56 crore were utilized as planned. Funds were channeled towards working capital in the subsidiary PG Technoplast, capital expenditure for expansion at the Supa and Karoli units, and repayment of borrowings, alongside general corporate purposes.
Monitoring Agency Report Submission for Q3 FY2025-26
PG Electroplast Limited has fulfilled its regulatory obligations by submitting the Monitoring Agency Report for the quarter concluding on December 31, 2025. This report details the utilization of funds raised via the Qualified Institutional Placement (QIP). The documentation confirms the progress against the objects outlined in the Offer Document for the issue period spanning December 04, 2024, to December 09, 2024.
Utilization of Issue Proceeds (Total: ₹1,477.56 Crore)
As of the quarter end, the cumulative utilization stood at ₹1,244.03 crore, with ₹233.53 crore remaining unutilized and placed in fixed deposits. The utilization breakdown across the key objectives is as follows:
- Working Capital for PG Technoplast: The initial allocation was ₹644.04 crore. The entire amount, ₹644.04 crore, was utilized by the quarter end, with an on-quarter utilization of ₹25.56 crore.
- Capital Expenditure for Supa Unit: An amount of ₹114.11 crore was earmarked. A total of ₹111.50 crore has been used, primarily for civil works, leaving ₹2.61 crore unutilized.
- Capital Expenditure for Karoli Unit: For the construction of the new building at the Karoli Unit, ₹78.63 crore was allocated, with ₹51.24 crore utilized by the end of the quarter.
- Purchase of New Equipment/Machinery: Out of the allocated ₹86.46 crore, ₹86.46 crore has been fully utilized towards the purchase of equipment and machinery for the subsidiary, Next Generation Manufacturers Private Limited.
- Repayment of Borrowings: The planned utilization of ₹25.31 crore (Company) and ₹176.51 crore (through PG Technoplast subsidiary) has been completely deployed against scheduled repayments.
- General Corporate Purposes (GCP): Against the ₹352.50 crore allocated for GCP (which did not exceed 25% of the Gross Proceeds), cumulative utilization reached ₹228.87 crore. A specific note indicates that ₹106.49 crore utilized for GCP during this quarter was allocated towards the purchase of plant and machinery across the group entities.
Progress and Compliance Status
The Monitoring Agency confirmed that all utilization aligns with the disclosures in the Offer Document, and no material deviation was observed. Furthermore, the report notes that no significant changes in the means of finance or major delays in the implementation of objects were found, as the primary objectives involving capital expenditure are substantially complete or underway as planned.
Deployment of Unutilized Proceeds
The unutilized balance of ₹233.53 crore (excluding interest income) has been invested in short-term instruments. This includes multiple Fixed Deposits with YES Bank maturing between 2026 and 2027, offering a consistent Return on Investment (ROI) of 6.70% on the majority of the funds.
Source: BSE
