KEI Industries Limited has provided an update on the utilization of ₹2,000 crore raised through a Qualified Institutional Placement (QIP). As of March 31, 2026, the company has successfully utilized the majority of these funds, with significant progress made on the new cable manufacturing facility at Sanand, Ahmedabad. While the project is ongoing, the board confirms steady implementation of key objectives, including debt repayment and general corporate expenses.
Financial Progress and Project Utilization
KEI Industries has made substantial headway in deploying capital raised via its QIP. Out of the total ₹2,000 crore, a significant portion is dedicated to the establishment of the Sanand manufacturing facility, which has received an expenditure of ₹1,064.69 crore as of March 31, 2026. The project is advancing, with the first phase of LT/HT Cable production having successfully commenced in December 2025, while EHV Cable production is anticipated to begin by Q4 FY 2026-27.
Debt Reduction and Corporate Objectives
Beyond capital expenditure, the company has fully utilized the ₹275.99 crore allocated for the repayment and pre-payment of outstanding debt, as planned in the Fiscal Year 2025. Additionally, ₹239.29 crore has been deployed toward General Corporate Purposes, nearing the total allocated budget of ₹239.64 crore. The remaining unutilized funds are currently held in interest-bearing fixed deposits across various banks, earning returns to optimize idle cash.
Strategic Outlook
The company maintains a disciplined approach to capital management. As of the end of the March 2026 quarter, the total unutilized proceeds, including accrued interest, stood at ₹385.66 crore. These funds are slated for completion of the remaining phases of the Sanand plant, which remains a key growth driver for the company’s manufacturing capacity. Management has confirmed that all government and statutory approvals necessary for these objectives are secured.
Source: BSE
